Why does iPhone says wifi connection is needed when I am connected?

Connecting to Wi-Fi is the initial step, followed by establishing an internet connection.

However, it's important to note that connecting to Wi-Fi does not automatically guarantee an internet connection. In the event that you are unable to connect to Wi-Fi, the issue may stem from settings on your iPhone or the router/modem.

On the other hand, if you are unable to establish an internet connection despite being connected to Wi-Fi, the problem is likely related to the settings on your router/modem. In such cases, it is advisable to promptly contact your Internet Service Provider (ISP) for assistance.

Check your WiFi Router / Modem for --> Recommended settings for Wi-Fi routers and access points ...

For your Internet connection.

• Over Cellular: contact your Carrier (Cellular Service Provider). The agency that issued the SIM to you
• Over WiFI: Contact your ISP (Internet Service Provider), the agency that provided the Internet Service on your Modem/Router to you

However --> Connect iPhone to the Internet - Apple Support

VPN frequently creates more problems than it solves. But one important fact is that when you install VPN it configures itself to the specific hardware, iOS version and network that the phone uses. If any of those change it can break the VPN. So any time you change any of these (such as by updating) you may need to delete the VPN app and profile, restart your phone then add them back (if you still want to use VPN) so it can configure itself to the new environment.

Here's Apple's advice on VPN→

Check VPN (Virtual Private Network) and third-party software to help resolve network connectivity issues - Apple Support

Something to think about→Don't use VPN - GITHUB

There are two legitimate purposes for using VPN:

• To allow access to a private network such as a school or business when you are not on site. 
• To allow access outside of a country with a repressive government that has restricted Internet access. (This has suddenly become more important)

Any other use is risky, and can lead to problems like the one discussed in this thread. VPN disguises your location by making you appear to be somewhere else in the world. But you usually can’t control that “somewhere else”, and if it is in a location that an app isn’t approved for the app won’t work. Plus the fact that the provider of the VPN knows everything about you and your location, as well as what sites you access through the VPN. So you are totally dependent on the VPN provider’s honesty. As a start, if the VPN is free, DON’T USE IT. The provider has to make money somehow, and if you aren’t paying them then they are selling your private data to make money. But even those that charge can’t necessarily be trusted. For example, a few years ago Avast was caught selling user browsing data. They claim they have stopped doing so. 

You don’t really need VPN when using public Wi-Fi, because all communications between your device and the servers it accesses are end-to-end encrypted.

If you want VPN for privacy about the sites you visit, that’s not a good choice as discussed; instead you should download and use the TOR browser.

The other use for VPN is to “steal” content that is not available in your area. I leave this question to your personal ethics.

With iOS 15.2 and later for iOS/iPadOS and MacOS Monterey 12.2 and later Apple now has iCloud+ Private Relay, which is not VPN, but provides a safer browsing environment than VPN, and it doesn't spy on you→About iCloud Private Relay - Apple Support

To update over the air from the phone all of these requirements must be met:

• You need at least 10 GB of free storage for iOS 16 or 6 GB for iOS 15 or lower; more is better
• You must be connected to a Wi-Fi network (and not a personal hotspot) unless it is an iPhone that supports cellular 5G (12, 13, 14 or SE 3rd edition) and has a 5G network connection
• The phone must be charged to at least 50%, and preferably plugged in so it stays above 50% during the update
• The phone must not be in Low Power Mode
• The phone must not be connected through VPN, and it may be necessary to delete any VPN apps and VPN profiles
• The phone cannot be in Airplane mode and must have a cellular data connection
• You cannot still have a beta of a previous version installed on the phone
• You cannot have a previous version that was downloaded, but not installed - go to Settings/General/iPhone Storage to look; if you find an iOS installer, delete it

If you can't meet all of them you can still update using your computer.

I'm having the same problem. I've confirmed that I am connected to wifi. I've also confirmed that I have an internet connection. I've even tried to connect to a different wifi network. The issue won't go away. Any other suggestions?

Thanks for the response! I see that I've posed in an iPhone forum - and I'm actually using an iPad Pro (wifi only, not cellular). I'm pretty sure I meet all of the conditions listed above and still no dice. I did try toggling off wifi, then toggling back on. Briefly my device gave me the ability to download and install, but it quickly went away and I am back to not being able to update. Can you update an iPad with a computer?

I experience this too. For whatever reasons my ISP fails to maintain a strong wi-fi connection. My phone operates noticeably better when I disable wi-fi, it fetches emails that were pushed hours before and it Mbph functions stabilize.

Realizing I was using cellular data under the assumption Im on wi-fi used to frustrate me. But id worry if i noticed flickering changes all the time.

Me too, after updating to 16.5.1 my iPhone 14 Pro says it’s connected in settings but it is not connected. No WiFi icon, only 5g+. I have multiple devices connected to my WiFi including my iPhone 12 which I updated as well and seems to be working fine. Support diagnostics came back good but it’s clearly not working.

Yes, you can update an iPad with a computer. The instructions are the same as for an iPhone→Update your iPhone, iPad, or iPod touch - Apple Support

Thank you. I'm updating via computer and it seems to be working. Thanks!

Hmnm. I Hate it whenever my devices out grow one another and fail to sync, especially since they dont play well with each other.

Took to Apple Store and she disconnected VPN and it works now