We nitpick because we want TES to be the best game out there. The graphics, as far as I've seen (and yes, I watched the 720p video) are nicer than Oblivion's in general, but there are still issues. Plus, I don't see a big 4-5 year leap in texture quality. But perhaps once we see videos from the PC version, with the better textures, that will all change.
Of course, the game could look like Minecraft and I'd likely still lay down $50-60 or more for the CE version.
Except if you were using your noggin, you'd realize they're in early alpha stages. How many times does it need to be stated? Graphics are one of the last things that get finalized.
Next we'll hear that they're using sounds from Oblivion as placeholders! Heaven forbid for an Alpha!
I'm all for constructive criticism, but when your question can simply be answered with "Well, it -is- in alpha stages" then there's no need to really voice it is there?