has more details:
Despite an earlier promise not to include such a DRM scheme in the delayed PC release of From Dust, reports that the recently released single-player game does check for an internet connection when launched (a fact that has been confirmed by Gamasutra).
Ubisoft has updated the original forum post that said the DRM scheme would not be in From Dust, promising to check the details and post an official statement on the matter soon.
With the From Dust issue gaining so much heat on the several users are responding negatively to the DRM restriction, demanding refunds, and claiming an invasion of privacy.
Succinctly, hits on the core of the problem: