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Sh1nn said:

From DigitalFoundry twitter :

 

"No, the suggestions I've read suggest that the unit won't actually work without an internet connection."

He's making that post based on the same rumors everyone else is seeing. The ones that are taking the very simple claim of "Always On" and stretching it to mean many things that are just wrong.

Based on the latest SDK leak, all the actual info about "Always On" is to help keep games and the console updated and to give you instant access to your content. It never once even implied that you HAD to leave it always online, or that if it was not online that the console would not work. All that extra fluff was added by the tons of rumor spreading journalists.