I've been thinking about this recently. Our phones have so much connectivity yet that allow them to be smarter than us. But you can be dropped in a new location without signal and suddenly you know more than your phone. It's a strange thing.

Yes I believe our phones should have a base level of 'knowledge' stored about our world which doesn't rely on connectivity to a server. Updates could be made either continuously or with each OS update, but they should happen regardless.