I don't think that's it. Apps took off because people felt comfortable yoloing stuff from the Apple app store, and for a short while before saturation, the app store reach was making small developers rich.
The App Store took off because of the distribution channel it offers for developers (including being able to charge for the work) and the place of discovery it offers to users.
Apps took off because Apple did everything they could to make PWAs work badly, with no reliable notifications, no access to some data, etc.
Apple did that because they want their sweet 30% from in-app purchases, which they couldn't enforce in PWAs.