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I am a tech for a local ISP and I use that term and those like it all the time.
I do not use them to make myself sound more intelligent because there is no need to. If someone calls you to help them with a problem they are having then it is normally assumed that you have more knowledge on the subject matter. Anyone who does speak to make you feel beneath them, whether its terms or tone, is in my book an ass.
The number one reason being to confuse the customer.
75% of the time if the problem is the lack of computer literacy of the end user the easiest way to get them off the phone is to speak using terminology they do not understand.
Not to say that I do not do my job but we are only responsible for providing a connection to the internet as well as providing information for retreival and sending of email and the like. It is not my job to figure out why you get no sound when playing games on Yahoo or why Netscape is causing your computer to reboot. We provide no software or support for software and hardware.
Customers commonly believe that it is the job of the ISP to provide support for the computer in general. This is in part the fault of some techs at least in the office where I work. They will commonly diverge from the protocol if its something they know how to fix (like installing a sound card for instance) then they help them and the next time that customer has a problem they call us. When I tell them we cant help them with that then they inevitably give the "well so and so did before" and get pissed.
In times like these it is easiest to confuse them with 'tech jargon' and most of the time they do the right thing and take it to a repair shop.
There are also plenty of times a day I do use these terms 'legitimitly' with Network admins or resellers who actually know what they mean.
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"Everyone thinks of changing the world, but no one thinks of changing himself." -- Tolstoy
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