IIRC it's something to do with the account being permanently locked due to too many failed password attempts, so windows basically throws up its hands and lets you log in anyway.
(This is just a vague recollection from last time I installed Windows, might be wrong)
Last time I checked you could log in locally if the install process never detected an internet connection. A terrible work around but (at the time) a functional one.
I’ve also heard that the following trick still works: enter the email address no@thankyou.com with any password, this account has been tried so many times that it’s been locked out, so the installer will let you continue with a local account
Windows 11 Home requires you to get a working internet connection to continue. Windows 11 Pro doesn't as of the 22H2 version but it still has dark patterns. For Office you can still use other licensing methods, even for O365, but as a typical consumer getting it legitimately you'll de facto need a Microsoft account.
Using "no@thankyou.com" for your Microsoft account (and any made up value for the password) allows you to skip this requirement in any version of 10/11 as someone got that account banned and the Microsoft workflow bails out since they naturally don't want to force onboard a banned user to a new account. This still requires internet during install though, it just works around needing to make an actual account.
It's a shame how much of a dance the install process has become.