Because if I want to provide an app to like 5 people I know personally, I am soon forced to do so via the Playstore due to Google disabling sideloading on Android. So now I am forced to inform myself about all the bullshit documents I never cared for beforehand. Yes I know what I am allowed to do with my users data, no I don't send it to some data brokers, yes I already comply to privacy laws and whatnot. Just requiring some official document that you have to let a lawyer take a look at is beyond me.
Be mad at Google [0], not at privacy laws.
Google has not disabled sideloading on Android. It will become a little more complicated, but still very easy.
You don’t need a lawyer to create privacy terms. You can literally write a markdown file hosted on GitHub where you explain that you don’t track anything (assuming it’s the case). You also don’t need to publish something publicly to the stores to share with friends, you can both side load (no it’s not disappearing) and have test versions that your friends can install