Solid state replaced tube amplifiers in stereo systems because if they are made well they more accurately reproduce the sound that comes into the input, ie; the sound from the recording.
However, have you ever plugged your guitar into your stereo? Electric guitars just don't sound that great even with really good pickups (generally designed with a tube amp in mind in the first place), so accurate reproduction is not entirely what you are looking for. Tube amps colour the sound of a guitar by making the tone warmer, and giving a richness that is lacking in the sound coming out of the guitar. Solid State amps can sound really good, especially if you have an amp modelling board that helps coulour the sound so that the amp is just making the sound louder. However, electronics struggle to precisely mimic the sound of a tube amp in its sweet spot (generally at 6 or more on the volume control).
Jazz players often use solid state amps because they are not looking for that kind of overdriven rock sound, they simply want to reproduce the sound of a good archtop. Also, Solid States are often better at low volume situations. However, for that classic rock tone, you just can't go past a tube amp.