I always hate this saying. Even before smartphones where a thing people used to socialize and seek entertainment more than they were studying. People would read entertaining fiction books over text books. People would go to plays, music shows, over going to lectures. People would talk about gossip, weather, or other topics more often than exchanging knowledge.
I would even argue we seek knowledge way more often than we used to because it's available to us. But you can't retain that much knowledge and since it's available to us whenever we need it, there is no need to study it before we actually need it.
And a lot of social media use still is exchange of information. So many places that talk about hobbies is full of information or ideas.
But unless your job involves a lot of research there is no need for constantly looking up knowledge.