Social Calls

I can't decide if I'm behind in the times or if our society has yet to develop social expectations for new behavior. I was out with a number of friends a few nights ago. (8-10 people I would estimate) and I found it very difficult to carry out a conversation. Most people talking were limited to jokes and one liners about something on the television, or commenting on others statements. Nobody was asking anyone else questions, or making any effort to converse with each other. I'm awkward enough on my own, so I often rely on asking questions to get other people talking, while I obsess about what to say, without looking weird or silly. Social Anxiety is a real treat, let me tell you.

On this particular occasion, I noticed a great deal of something that I find to be very offensive. Everyone there was on their cellphone.
A couple people were actually taking part in the same conversation on Facebook with other people. and commenting to one another about THAT conversation, and not even talking to anyone who made an effort to be the in the same room as them.

Several people spent the entire gathering texting, to make plans with other people and actually left to go spend time with THAT person, and other people were checking Facebook, Twitter, or looking at photos. Things I do to occupy myself while bored in the doctors office or when commercials interrupt a favored television show.

Am I the only one who finds this unbelievably offensive? I would have been perfectly content to stay at home and play Skyrim all evening. It was a gathering for a Pay Per View UFC event, which I have little interest in, but I went to socialize with my friends which we rarely get to do anymore. I found myself feeling very hurt that most people there would rather be having conversations with other people who DIDN'T even make he effort to spend that time with them. I even volunteered to be the designated driver, even though I had beverages sitting in the fridge, from the night before, and drove two other people there.
I found myself sitting alone, watching a barbaric sport that I have little interest in, making comments and trying to be observant, and start a conversation, to no avail.
"the little guy really seems to have the technical advantage there"
nothing. Asking questions about sponsorship and what an MMA Fighter makes were also met with dead air more often than not.
I talked more with strangers that I wasn't even introduced to, and introduced myself. They at least asked questions and seemed to want to make small talk with me.. I would have thought that kind of appalling social etiquette would be considered taboo.
More often than not, I can look around a social group I thought I was a part of, to see everyone on their cellphones. For a long time everyone with an iPhone played games together on their phones, while sitting in the same room. I have a Blackberry and don't play games on my phone, ESPECIALLY when I'm in a room and attempting to spend time with other people. I cannot comprehend any way that this kind of thing is not thought to be rude, or disrespectful.
A friend told me that I should have left and gone to do something that was fun for me, although I know this would still have resulted in judgement upon ME, and a complete lack of consideration of their own behavior. I even went so far as to say
"Guys, there are people in this room, who made the effort to spend time with you"
multiple times, and was completely ignored. Is this just another aspect of our technological society for me to be bitter about, or poor manners?
I was told about a party where the host placed a basket by her front door for people to put their cellphones in when they enter her home. I know full well that anyone who walks into my house will ignore that, even though I would love to give it a try in the future.
I want as many opinions as possible on this. I need to understand it, even if it is me that needs to get over it and accept that this is how our society works now. What do you think?