My Multiworlds universe (specifically the main universe of The Greatest of The Wars) utilizes magic on both levels, but it is rarely called "magic" except by non-proficient people who rarely see the difference.
'Magic' in MW completely relies on precise understanding of physical laws and ways around them. It works with the concept that the universe is full of holes and exceptions to the laws, that you can utilize to great effect. Sort of like The Matrix, but without a supercomputer in the background. It goes along one of the two paths.
One path is Psionic Disciplines. These are used by people with low innate resistance to the flow of life force, referred to as Psi. They can channel Psi through their bodies, giving it shape and directing it through the imperfections of the universe to achieve certain effects. Disciplines are very freeform, and the only limiting factor is memory - a Psionic needs to instantly remember a massive sequence of events and effects required to produce the "spell". It doesn't have any other disadvantages, but has an advantage - since disciplines are activated on-the-fly, nothing is stopping the Psionic from chaining several effects together or altering their magnitude - effectively giving him infinite adaptability in combat.
The other path is Psionic Techniques. People who choose not to bother with remembering the disciplines or who have high resistance to Psi choose this route. They cannot easily channel Psi through their bodies, trying to do so causes severe damage to them. As such, they instead opt for 'preprogrammed' disciplines called Techniques. Channeling Psi at a slow rate, they infuse an item, usually something metallic, with a pattern of Psi effects. Once the patterns are set, it is only a matter of commanding the item to produce the effect, and it will comply. There are several drawbacks to the process, like only being able to create fixed-effect "spells" and having the same essential problem of high resistance - forcing to use either full-metallic clothing to gather Psi from the whole body or some crystalline containers within the items themselves. There are advantages as well - there are no limits to the complexity of the possible effects, and any number of such effects can be stored within even the smallest of items, removing the need to remember massive amounts of information. Nevertheless, a skilled and knowledged Psionic can beat a Tech-user at this game because of his ability to adapt and use the various effects at will, while it takes a lot of time for a Tech-user to prepare the numerous variants and combinations of effects.
As it is, this "magic" does not counteract any technology, because it breaches the physical principles only locally and for a brief time, and even then it only does so in compliance with the universal laws - except it uses not the laws, but the holes in them.