They're very intertwined. A paperclip factory produces things; they don't do tech development (shouldn't do much at least). Tech development is about pushing the edge. Science, obtaining more knowledge about the universe we have to work with, helps, but it's also about finding new applications for what we've already known.
Tech development doesn't necessitate the production of things, even intangible ones. Technology development in the form of new optimization techniques in existing software for e.g. rendering 3d models or searching data faster or whatever is not producing things, but it's still tech development.