There are a lot of "workstation" type enterprise deployments where by policy, internet access is forbidden. Microsoft knows this, at least for professional and enterprise editions of Windows, I find it hard to believe an internet connection would be required, like ever.
I would also say the same about require either a live.com or M365/EntraId account for local login on AD joined systems' installations. Unless of course they require you to setup a base-image with an internet connection and then convert accounts to local-only post-install, which sounds like a typical Microsoft approach.