If your team is a tool you use to get greater glory for little ol' you, then the resource s your team uses are the tools it needs to carry it – and thus you – onward and forward. Too many managers think that by cutting their team's resources they are earning some sort of brownie points to be stored up – and used in what? Heaven? I do not think so. You have to get the best resources for your team. By depriving the team you are depriving it also of the chance to shine, to propel you to greater glory.
I know of a lot of managers who say, 'Oh, they can manage for a few more years with Windows 95'. Or 'They probably would not know what to do with broadband, I can save a bob or two if I hold off for a bit'. I have even heard, 'I try to keep a short rein on what they need in case it gets out of hand'.
You simply cannot expect your people to a) give of their best, or b) be motivated, if you keep them short. They will talk to other people you know: colleagues in the same organization, friends in other organizations. They will know when they are being short-changed and they will resent it, resent you and work less effectively. In consequence, you will fail to shine. Ipso facto – go get them the best you can.