Not everyone has the internet or can connect their console to the internet. People projecting their privilege on the world, the world isn't your mom's house. Not everywhere on earth has great internet infrastructure and some people flatout have no access to internet. There's a world outside of the bubble you live in. Xbox got rid of its "always on" angle specifically for this reason, and putting a mandatory update out day one kind of resurfaces the problem. Its pretty indefensible. They'd be better delaying the launch and updating the software themselves so they're not shipping bricks.
The thing is that if you don't have access to internet Microsoft simple don't care about you. You won't be paying for gold, you won't buy DLC and digital games, you won't see ads. You are a useless costumer to them.
They only got rid of the always on thing because it made people that actually mattered to them upset.