Agreed and the receiver's HDMI switching capability must also keep up with the evolving standards. This is one of the reasons A/V gear values fall like bricks (as new standards, such as 3D, 4k, etc. are introduced).
Since using anything but a high end A/V receiver or pre-pro to switch and/or process the video signal will cause degradation, I have always plugged my video sources directly into the TV. I am not familiar with FIOS, but Comcast (Xfinity) has a new remote technology that operates the set top box, TV and my pre-pro (at least the basic functions). With a single remote to switch the video input into the TV, set the pre-pro volume and operate the cable box, by passing the receiver for video switching no longer requires multiple remotes and makes it easy for family members to operate things with limited guidance from me. My Samsung Plasma just bit the dust and I upgraded to an LG OLED display with no issues.
Depending on how your cable remote and set top box operate, you might want to consider keeping your receiver and spending those dollars on other toys.
By the way, my theater room is relatively small and 5.1 has been more than adequate for my needs. I have heard Atmos and decided it's amazing and I just don't care (as with 3D video); like you, video is not my first priority. Just have fun with it and do what your eyes and eras like best.