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Ka-pi96 said:
Sounds odd, it should work fine without a connection.

I was on Xbox One and connected fine just about an hour ago and no problems, I'll check again now though.

It works without it.

The only case is if you did not save your password, then it needs internet to authenticate you. Nothing wrong here :)
I cannot connect on my kids Xbox One (I do not want to save my password on it as it is for the kids) but mine works perfectly well (where I saved my password), I cna play all my games (tried 3 of them to be more accurate) only some MP issues.

STATE may be in that situation (where he did not saved his password) and therefor there is no other choice but to be online to validate it.
Microsoft is working on it (Xbox Live service is flagged as limited is on their support page), sucks anyway for you STAGE :(