I like the current Apple model very much. I do not need to think safety or security when I buy apps from Apple App store.
Also I like that all apps including Spotify, Netflix, and all other big apps are available from the same place. Apps are updated automatically, and many of my subscriptions are handled in the same place.
For us users these are good features, that are worth the small premium.
I could be wrong about this, but it seems like it would change for most users since Facebook/Google/Amazon/etc have a big incentive to push third party App Stores: ad tracking. Apple currently limits it, so I would not be surprised at all if suddenly all of grandmas and grandpas favorite apps are now “third party only”.
Most people dont like too many choices. And sideloading just might destroy the experience for the majority, because many big players could choose to have their own store.
Sideloading didn't destroy MacOS, Windows or Android. Unless you have evidence that iOS is somehow different, I'm going to assume that it won't destroy iOS either.
Phones are different from computers, it is a different market with different requirements. Apple app store is much more succesful than Android “app store”. That is the evidens for you.