If a "conscious observer" is part of a theory of physics (e.g. some versions of QM, cosmology), then how (according to what theories) did the universe evolve before the existence of conscious life forms ?
If we take a particularly narrow view of requiring human observers then this would have to account for almost the whole history of the universe, and even a most speculative view would surely have to allow the first generation of stars to form and explode before life could evolve.
Logic suggests that if we have to have theories that deal with the universe "pre-life" then they should probably also work "post-life"