I mean, I know it happens because my dad would laugh like a maniac at threads on hornfans about how much they hated "wofford" (WU), but I don't get what it is all about, or at least I have forgotten if someone explained it to me once.
There is a difference between being 'the university of Texas' and 'The University of Texas.' Of course, Aggies believe A&M is 'the university of Texas' (meaning the best one, the only one that counts, whatever). The place in Austin is called t.u. to avoid any confusion.