Agreed. While I do like going to 2-3 games a year for the atmosphere I prefer my HD big screen, fridge and bathroom within a couple steps over expensive tickets, crowds, overpriced (and bad) concessions along with lines to take a whizz.
I think consumer tastes are just changing as well, along with it just being really convenient to stay at home. I think more people than ever just want to relax and watch a game, or (especially younger people) not even "watch" the game per se but follow the reaction to it on social media. MLB, for example, is in the midst of a multi-year attendance decline but revenues are higher than they've ever been. Why? The TV deals.
You can watch every game imaginable now on a 60-inch HDTV as you said, which isn't even all that expensive anymore, and not have to do anything else. You can get your fill of Twitter's reaction to the game and highlights all on your phone.
Going to a Tennessee game, especially if you want to tailgate and/or make a drive, can feel like work for a lot of people and is an all-day event. You also can't relax and be comfortable if you're in Neyland - that just isn't part of the deal. Say Tennessee is playing at 3:30 on a Saturday, and I want to tailgate before the game, and I'm coming up from Chattanooga. You'll want to get to the parking lot around 12 or 1, which means you need to leave Chattanooga around 10 or 11. You also have to get your tailgate stuff ready early that morning or the night before. The game is over around 7, which means you get home around 9 or maybe later. Now, it's a huge amount of fun, but your day has lasted from ~10 AM until ~9 PM. 4 hours in a car, 3+ hours in a (hopefully) raucous stadium, along with any tailgate prep. It's a long day and you're exhausted at the end of it, and if you've worked all week that might not be much fun.
Overall, sports are just as popular as ever, with some sports more popular than they've ever been, but people are definitely changing how they consume them.