Failing to provide local history is essentially one of the dark patterns to getting you to turn on their privacy collection. Most things Google requires it for could easily be done outside the cloud, but by making things depend on the cloud, and then telling everyone you can only do it with the cloud, you convince people that they need the cloud. When in reality, they never did.

GPS navigation devices with much less storage than a phone have been more than capable of what Google Maps offers for a long time. There's essentially no reason for it to do anything with the Internet except getting map updates.