Magic is hard to distinguish from sufficiently advanced artisanal technique, but industry is what transformed society in a pervasive fashion.
Exactly. More often than not the dichotomy between the natural and supernatural sciences is fake. Because in most settings 'Magic' is little more than some sort of energy which can be directed and shaped with enough study. The idea that magic stunts technological growth and impedes industrialization is nifty but not always true, case in point:
Both Forgotten Realms and it's carbon copy Golarion have ancient industrial civilizations built on the back of magical research. That was the case with Netheril in the Realms and the Shory Empire in Pathfinder. Automated production lines that churn out Wands of Light Cantrip are indistinguishable from similar factories that create lightbulbs. And that's just the post-apocalyptic parts we live in. Both Golarion and Faerun have space faring civilizations that use and instrumentalize magic. And one has to assume that the guy who created the magical space ships know a thing or two about Mechanics.
In Thedas the dwarves developed industrial mining techniques in order to create their underground empire, complete with underwater tunnels that span the continent. They didn't need gunpowder to do so because they had an equivalent in magically aspected fire salts. Their warfare methods, though steeped in tradition, also make extensive use grenades made out of Lyrium. The dwarves also now wish to learn the secret of gunpowder from the Qunari, but to experiment with all substances instead of just Lyrium and it's derivatives.
Warhammer Fantasy is a very high fantasy world where technological, and magical developments are not mutually exclusive. The elves prefer their magic, the dwarves prefer their guns. But the humans and the ratfolk are perfectly capable of not only using both but marrying them into something else. Like the Holy Laser Beams of Hysh firing side by side with Imperial Cannons. And besides it's not like there are no engineers in Ulthuan, or knowledge of magic among the dwarves.
It doesn't even have to be mentioned but Pillars' Eora is also another setting where technological development is done through a mastery of the supernatural.
Shadowrun takes this one step further and treats magical developments as new facets of the natural world. Elves, Vampires, Monsters are all just new genetic expressions caused by an abundance of mana. They occasionally have strange ties with the ancient unknowns, such as Elves quickly re-developing their dead language for reasons that are mysterious, but the fact that Elves can live a long-ass time is simply genetic. The Elves know it and the Elf Supremacist states do their damndest to stifle any research of that fact. Furthermore, the rise of magic also brought with it the rise of hyper technological development as well.
Even in Arcanum - where the natural and the supernatural are deleterious to one another - you still have a world where the greatest impediment to technological accumulation is not the mere existence of magic. It's political and cultural. Magic-users tend to vanquish advanced civilizations. Those civilizations rise up nonetheless. They take their time mostly because the longer lived peoples who hold onto that knowledge - the dwarves - have no compunction to seek rapid industrialization.
Simply put, whenever magic is sufficiently powerful then a magocracy develops. Once the magocracy is in place it will seek to increase it's own power. This will inevitably develop into an advanced civilization, that will likely fall in some way due to the Law of Telling An Interesting Story.
The kinds of settings where I see Magic being an impediment to industrialization are those where the supernatural is steeped in mystery and ritual. If you can't tame it, there's no pattern. If there's no pattern, you cannot industrialize. Say, Mage: the Awakening. Broadly speaking in the World of Darkness the masses lived under the thumb of magic users. It took the rise of an entire new paradigm of reality - rationalism and shit - to displace traditional magic and create the modern world.
