Their bulk of hiring will be younger folks. Those people generally move closer to work and show up everyday at office.
Smaller companies will be pragmatic in a different way. They will try to retain good employees. They realize the benefits of remote workers.
You have two wrong assumptions here - one is that all the good employees want remote. That's not true. Good people also like offices with some flexibility to work remotely whenever they choose. Second assumption is that companies big and small won't make exceptions for their superstars. That's not true neither. A lot of companies are forcing their policies on their cogs while bending over backwards for their superstars.
I just meant relatively, compared to big companies; smaller companies will make more exceptions to retain folks. And smaller companies realize and value the pros of remote workers more, like savings in office space expenses.