Nintendo makes a console, and a software/hardware ecosystem to make development on it possible. Same with Sony, same with Microsoft. Then they offer this platform to developers, giving them exactly ONE WAY to distribute content. If the way they offer is not profitable, no one will pursue it. Neither large established companies, nor small ones.
Apple makes a smartphone, and applies the same rules as Nintendo, Sony, etc. But the thing is, the stakes are MUCH higher. People use their device to do banking, to make payments out in the world, to have countless extremely private conversations, to store passwords, to unlock their car, to find each other on a map, to get into their house, to document and discuss their family lives, et cetera. You don't do that on a Playstation or a Switch.
And these aren't technical people. If you do this all on a laptop you have at least a reasonable amount of technical knowledge, and you hopefully know how to use a firewall, and how to decide when someone is subjecting you to a phishing attack or trying to clickbait you into installing a trojan, and you're very parsimonious with giving out your password when you install new software or even copy files.
But people who use smartphones are generally not like that. They have enough trouble keeping up with what the device CAN do, and have barely any time left for understanding the HOW, and the dangers that come with it. In fact, I consider myself very technical indeed, having spent a lifetime learning constantly about hardware and software, and there are large realms of functionality inside the smartphone that I simply do not understand on a technical level. For example, just about everything having to do with antennas.
People trust this device to mediate and preserve their social, financial, private, and even political lives. Apple has led the charge directly into this state of affairs over the last decade-plus, by aggressively building privacy and security protections into their platform, including at the "app store" level. (At this point I pause here to remind everyone that the very idea of an "app store" as we understand it now was basically created by Apple, as they went along. Do you remember when software was sold ONLY in boxes on shelves, and then through countless random web portals later on, each one proprietary and owned by one company?) If there was no Apple in this space, those privacy protections would be swiss cheese, because they would be implemented to Google's standard, which means you accept being aggressively data-mined at every turn, and you accept the use of a hardware platform that supports this, and gives lip service to all other forms of security that could interfere with data-mining.
The target consumer base for the smartphone is not the same as for the PC. You on Slashdot may prefer caveat emptor, but then again, you're not unlocking your car door with your laptop, or whipping your laptop out to pay for lunch, or showing law enforcement your laptop when they pull you over and ask for ID. There are things so instrumental to your life that even you don't trust a laptop to cover them. For everyone else... Well, they're accepting a risk.
Personally, I think the idea that software makers are getting shafted by app store regulations is a bit shit. And for that I give you exhibit A: Apple sells you a device, for which you pay one price. You pay that money once, and then you use Apple's software services perpetually, for no additional money, for the entire lifetime of that device, including a run of OS updates to add new features and patch holes. Meanwhile, software developers are charging you A MONTHLY FEE just to have their software INSTALLED on that device. And they are getting away with this. You can call that "what the market will bear", but I call that a bloated piece-of-garbage market that is already too cozy for software makers.
Now I could say, the solution to that is, give me an "alternative" app store on this device that has a gray market, and re-packages ripped off and cracked applications. I mean, it will save me money. It will absolutely shaft small-time software developers, but from my point of view, there's no downside to installing the Cydia App Store 2.0 and then installing DuoLingo [Cracked By Mr Krak-Man of Blag Bag]. Hell, that's exactly what people did back in the early iPhone days, with all kinds of apps including proxy servers to get around the "no tethering" rule. And if this fancy cracked DuoLingo exploits some security hole to wake your phone up at 2:00am and tell your banking app to do a wire-transfer of your entire savings account to some account in Iran, well, too bad. You stepped out of the walled garden and right into a briar patch.
We could all clamor for that "solution", claiming that it's an argument on behalf of software developers that they should be free to deceive and exploit customers for their money without the meddling of a damned platform provider, but it would really be a monkey's paw. You can imagine a company like Facebook re-architecting their own app so that it is actually an app store, and trusting that everyone who wants to be on Facebook will just authenticate it without thinking, and from that point on Apple is not only cut out of the revenue stream for Facebook, but potentially the revenue stream for every other non-Apple app you use, as Facebook recruits them into their store with the promise of NO developer fees as long as they sign an exclusivity agreement and give Facebook dispensation to data-mine their users. And then hey, it's like the Flash Plugin scenario all over again: Apple has just lost control over its own ecosystem. They provide the R&D, the hardware, the support, the APIs, and... Whoops, Facebook is suddenly calling the shots about what can and can't be installed there, and turning their privacy protections into a joke. If you do the math on their userbase under the new regulations and it comes up to 11 million a month, well, IS THAT ACTUALLY A PROBLEM?
Be careful what you wish for. Remember, Apple is the only giant tech company that gives a tin shit about consumer privacy. And yeah, it's made of tin, but all the other giant tech companies are CONSUMER PRIVACY HOSTILE. If you're crusading on the side of Epic Games and Facebook you may not be keeping the right ....... company. Pun intended.