Soldato
The Mercedes in 1997 was woefully unreliable as they were deliberately focussing on performance for 1998 and beyond. They lost a dominant 1-2 at the Nurburgring with both retiring with engine failure during an ITV ad-break. Hakkinen was on course to win at Silverstone too and might have won at Hungary as well but for an early retirement. Adding to their wins in Australia and Italy (and ignoring the Jerez result).They had Mercedes power in 1996 and 97 and finished both 4th.
They were ranked 4th in the championship, but were easily the 3rd fastest team and not all that far behind the leading duo for much of the year.
Newey might have turned them into the team to beat, but they were getting up towards the top already.