The best answer to this question is given by Andrew Godwin (Django core developer):
The main purpose of apps is, in my eyes, to provide logical separation of reusable components - specifically, a first-class namespace for models/admin/etc. - and to provide an easy way to turn things “on” or “off”.
In some ways, it’s a relic of the time when Django was created - when Python packaging and modules were much less developed and you basically had to have your own solution to the problem. That said, it’s still a core part of Django’s mental model, and I think INSTALLED_APPS is still a cleaner, easier solution than Python’s replacement offering of entrypoints (which makes it quite hard to disable a package that is installed in an environment but which you don’t want to use).
Is there anything specifically you think could be decoupled from the app concept today? Models and admin need it for autodiscovery and a unique namespace prefix, so that’s hard to undo, and I’m struggling to think of other features you need it for (in fact, if all you want is just a library, you can make it a normal Python one - no need for the app wrapping unless you’re shipping models, templates or admin code IIRC)