The maximum efficiency of either the Diesel or a steam engine cycle is (assuming you can treat steam as an ideal gas): $$\eta_{Diesel} = 1 - \frac{1}{(\frac{V_{Max}}{V_{Min}})^{k-1}} \left[\frac{r_c^k-1}{k(r_c-1)}\right] $$
Where $k$ is the heat capacity ratio, and $r_c$ is the cutoff volume ratio - i.e. the ratio of volumes after and before the combustion process.
A few things to note in this formula - Clearly it would seem that having a long cylinder stroke would be advantageous either way. However, this would also require a very large engine, as the piston rod has to be longer. Going to the second part, for a standard diesel combustion, the volume may expand to double at the most (i.e. $r_c = 2$,making the bracket = 1.17) between the onset of combustion and the end of combustion. For steam, this isn't really the case. As can be seen from this handy diagram:
The cutoff ratio approaches 20 before constant pressure injection is finished. This makes the bracket about 2.0, really impeding efficiency. However, if you've got the space for a boiler, condenser, reservoir and pump, you've got space for a really long piston rod to bump up the bottom term and bring the efficiency back to a reasonable number.
However, what does this mean in terms of raw power? $$\mathscr P = \eta*Q_{in} = \eta * \dot m C_v (T_{expand} - T_{comp})$$ Where $\dot m$ is the mass flow rate, $C_V$ is a constant based upon the gas used, and the $T$'s are the temperatures at the end of compression and the beginning of expansion, respectively.
Once we have a similar efficiency, now the hard part is temperature. A steam engine can't reach 1000K like a diesel can. To makeup for the lack of power, it needs a lot of mass flow - big cylinders and double action really help. For the diesel, simply adding more of the already compact, high power, and fairly efficient engines will be easier than making a single big cylinder and dealing with the difficulties (such as the engine losing isoentropic compression / expansion), and removing that excessive heat from many distributed points (rather than a single massive point) makes a lot more sense due to the square cube law.
So, to summarize:
- Higher cutoff ratio means steam engines need longer piston rods to maintain a higher efficency
- Since the temperature is higher, the diesel pistons need to be smaller diameter to allow for proper cooling to avoid damaging the materials.
- Since each small diesel piston is able to perform efficiently and powerfully, it makes more sense to add a bunch of them then dealing with a single large chamber with inefficiencies.