I find it far more frustrating the shift to half-sized arrow keys - when the space is also clearly already there. The r-shift key could be chopped up, or removed entirely, to accommodate a full-sized up-arrow.
But there's no reason for it to be so freaking huge! On the two keyboards I have on my desk (HP EliteBook laptop and a "normal layout" desktop keyboard) the right shift is the second-biggest key after the space bar!
My favorite layout, by far, has to be the "75%" some mechanical keyboards have, like this: https://cdn.shopify.com/s/files/1/0059/0630/1017/t/5/assets/...
Sure, this particular one is not perfect (useless dedicated light button on the top right...) by the idea is there.