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Instead, the activation for the free offer of Windows 10 is registered on the Microsoft activation servers as a digital license for the PC when you upgrade from an activated Windows 7 or Windows 8.1. If you make a meaningful change to your PC's hardware (ex: motherboard), you may need to contact customer support to activate by phone.
Any PC that requires Windows Digital Activation will not activate with just the product code. Activation will be put off to a later time if there is no Internet connection. You have the option to activate over the phone. Or activate online, your choice. If you are going to accept the end user license agreement you will have to activate, to be legal.