The pundit believes the size of Newcastle as a club makes life more difficult, rather than easing life for their players.
The pundit feels it's a lot more difficult to play for a side like Newcastle or Sunderland.
But he does believe the Tyneside club would have had a greater chance of staying up had Rafael Benitez been hired earlier.
Souness told Sky Sports: "In an ideal world, they would have got Rafa in earlier. He's pragmatic and his defences are hard to break down.
"He's got to come up with a system where you can steal games. Because of how big the clubs are, it's a harder job being a Newcastle or Sunderland player right now than a Norwich player when fighting relegation."
The problem for Newcastle in this regard is the overwhelming lack of character within their squad.
The pressure of playing for a big club in front of 50,000 fans every other week is something certain players thrive on.
But not Newcastle's. The inherent weakness in so many of them has been exposed time after time and even those they've brought in to boost the side are exactly the same.
Next up for the Magpies is a trip to Southampton on Saturday afternoon, while Norwich travel to Crystal Palace at the same time.