You haven't booted an installer. Sounds like you're going this route. https://wiki.batocera.org/install_batocera#install_batocera_from_batocera
Linux Gaming
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Since when does a linux distro need a network connection to install itself on the system?
Since never. This is specific to Batocera. In the link provided in the comment by @Feyd@programming.dev it says:
Batocera does not install itself by copying system files over from the USB/SD card like other live distros might. It has to download, extract and install the image as a whole.