The thing with technology is, if you have magic there's no need for it. It gets dark, no need for a light bulb, you have a light or a night eye spell. Need to get somewhere quickly, teleportation spells or you could increase your speed. And who'd need a gun when you can rain down fire from the sky.
No.
It only applies to some people. Most, normal citizens and other non-mages, use torches and lanterns. If magic is so handy and omnipresent and so much better, how do you explain that?
Not to mention that even Tamriel has entire cultures that prefer technology to magic. Look at the magic-distrusting Redguards for example. I would be far from surprised if one day firearms and steam powered machines started appearing in Hammerfell.