Although Germany did lose a sizable amount of territory, I don't understand why Germany was not partitioned into smaller German states akin to reunification. Austria was split into smaller states, but Germany was just given reparations, why weren't both partitioned, or both given reparations?
Hi, you might find this answer I wrote on a similar topic useful.
Suffice to say Austria-Hungary was far more ethnically diverse than Germany, and this was reflected in the provisions of the peace treaties. Those parts of Germany whose occupants were mostly non-German were handed to their respective countries in the Treaty of Versailles, such as Alsace-Lorraine going to France, Northern Schleswig to Denmark and Eupen-Malmedy to Belgium. In the East, the allocation of land to Poland was complicated by the fact that ethnic Poles tended to live in the countryside while the cities were more populated with Germans, making geographical distinctions difficult. While the partition of Austria-Hungary was imperfect, and many of the minorities weren't actually asked if they wanted independence, it reflected the multi-ethnic status of the empire as opposed to Germany which was more homogenous.