Okay, so at least in the bandit's case, it could use some improvement - when the woman was shot, he did look around frantically (kudos for noticing), but for some reason running for cover never occured to him (for whole... 5-6 seconds? How long can his life be flashing before his eyes?) - but I also noticed one more thing that might or might not have been AI in action, although I am not perfectly sure.

Around the fifth minute of the http://www.gametrailers.com/video/e3-2011-elder-scrolls/714852, we can see the character breathing fire at the frost dragon and the dragon... dodging it?

I really hope it's not just a spectacular coincidence and certainly not exclusive to dragons. It's about time NPCs learned some self-preservation - it kinda makes sense to back the heck away when the psychopath in front of you is about to incenerate your face with their breath... right?