More than 7 is wasted , but not "any less than 7 is less than ideal". 7mm is the maximum. Not everyone can do 7mm, and as people age, eyes can no longer open to 7mm. therefore quite often even a 7 is a waste.
Also, larger objective also narrows depths of field, so you are more focus-adjustment dependent. It is a trade off that matters in rifle scopes, because not everyone wants to spend 5 seconds refocusing for every shot.
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