Oblivion is a remarkable game, with many improvements over Morrowind, but with some criticisms. Such as:
The magic system-you did good Bethesda, by adding regenerating magicka-but if you want the real feel of magic, you better go ask Xilverbullet to install Midas Magic into your next game. That is, by far, the best magic system I've ever seen. People do criticize it, sure, but I love using Destruction's End to literally bring
melting to his knees. And are certain spells to strong? Then you don't have to add them. It's entirely up to the player what powers to choose. The variety is fantastic, and Bethesda would be fools to not implement something similar in Skyrim.
Horses-a worthy addition, but useless when you have fast travel. If you add it, make it necessary.
Fast Travel-a time saver yes, but all in all, I would take the long, frightening journies of Morrowind and limited fast travel over the new system. This should be dumped.
Archery-Virtually perfect with two exceptions: Crossbows-Cyrodiil is the cosmopolitan province yes? Then the most modern weapons should be there and be used widely. There was no excuse or explanation given for why crossbows were left out of the game, but they should be returned. The other? Killshots-if I nail a stupid Orc in his head, he should die. Period. Mastery gives you the paralyze effect sure, but wouldn't a paralyzed victim be even more vulnerable to attack and take more damage? Is that the case in Oblivion? Nope.
Leveling the World-I kid, I kid. This is and was a horrible idea. I love finding "generic magic weapon x" and selling it as fast as I can for the money. Remember the artifacts in Morrowind? Why is the Tamrielic Lore book even in Oblivion? To remind us of the BETTER treasures from that game? Once you've seen one dungeon in Oblivion, you've seen ALL of them, with few exceptions (Sundercliff Watch, uhhh....that one hidden behind the waterfall with the trap doors). Respawning is silly also. Why not, after all the dungeon is clear and any one-time artifacts recovered, you add an option that when the player returns after (x) days, he has the option of respawning the dungeon himself (with his choice of enemies inside, implying that something new can move in), or turning it into a home (in which case he can buy cave home supplies from a merchant).
Traps-ok, this one you did good on. Traps usually scare the frak out of me, and Shivering Isles made them better. Keep it, install it in Skyrim, move on.
Poisons-same thing here, now you can make them. Good.
Combat-the blocking system is great, but I agree with above posters when they said it should be more skill-based. Perhaps the shield can shatter if you don't have enough skill? That would be a cool effect, and make some sense.
Graphics-a cop out, as you expect a game 4 years newer to have better graphics. But I would take Morrowind's gameplay and lack of voice acting over pretty pictures any day.
Welkynd and Varla stones-a nice idea, but useful? I have so many of these things stored up in my mod house that I don't know what to do with them. They would be more useful if they were LESS common.
Buying a house is nice, but frankly it isn't like Morrowind lacked that option really. I suppose it's an improvement, however there's hardly ever enough storage, and working armor mannequins would've been nice (like the one in Knights of the Nine!)
Stealth-also nice, as invisibility has saved me many times. Sneaking around is possible and made even better by the NPC's having schedules. Almost a near 100% improvement.
Skill perks-great idea, and encourages constant practice. The magic ones, however, could've used some work. Instead of unlocking new tiers of spells, why not add better effects to the ones you already have? For example: A fireball spell at Novice fires a line-of-sight fireball at the enemy. Ok, cool. Now, upgrade to Apprentice, and you get a second, controllable fireball that either hits a second enemy (if one is present) or hits your single enemy with another fireball. Perhaps at Mastery, it lets out say, a whirlwind of fireballs, that impact every enemy in the room. Is this Mastery or isn't it? In Morrowind, a fire/frost/shock spell combination would yield the sound effects of all 3, and usually the graphic effect also. Or, you can just scrap your magic system and use the one I suggested above (cause it's better).
Training-I liked being able to train to my heart's content in Morrowind because I was filthy rich. You limited us to 5 times per level because of....what reason again? Or more to the point, my character has over 2 million gold. My more advanced one more than 4 million. What exactly am I supposed to spend it on? Add more expensive items into shops (like how glass was at Ghostgate and a couple other places), and price it out the window. That way, us rich folk can still go shopping and not BUY the entire store.
The Oblivion Crisis-a nice quest, nice loot inside the gates, and some variety. It's no Dagoth Ur or political faction issue, but it was servicable and had a great ending. The gates should have been waaaaay more than paper tigers though (like making them spawn at random near the player or even in the cities, instead of at fixed locations that you can avoid easily. What are they threatening anyway? The woodland creatures?) The gate doesn't even BURN the forest. Really Bethesda....you could've come up with something better than this. Your idea was great, it just needed more refinement.
The Mods: I love how the best storylines (The Lost Spires, Heart of the Dead) that I've played are both mod-added. This either means that those people are more creative than Bethesda, or Bethesda released Oblivion missing a lot of features, knowing the unpaid and unsalaried public would fill those gaps in for them. For shame.
Additionally, mods such as Midas Magic, Myths and Legends, Deadly Reflex, etc...(you all know the big, useful ones), should have been in the game from the start. Honestly, in terms of creativity and forward thinking if it was Bethesda vs. the field, I'd take the field.
Other than that, I agree with many others regarding soliders patrolling the roads, the Black Horse Courier, the stolen items system, the NPC schedules, and the nice variety of miscellaneous quests (although there needs to be a LOT more).
What Oblivion mainly lacks, however, is the FEEL of Morrowind. In that game, you felt lost, you felt scared, and approaching Red Mountain because you had to WALK it was halfway terrifying because you didn't know if you were going to die via creatures at Daedric ruins, cliff racers, or something inside the Ghostfence. Ghostgate was quite literally your last haven. Is there even a bit of an equivalent feeling for that in Oblivion? Can you wander somewhere and get your a** kicked like in Morrowind if you aren't ready? Didn't Dagon Fel FEEL tremendously far from Vivec, whereas in Oblivion you aren't "far" from anything? Anvil to Leyawiin is 4 seconds away. Sure, time passes, but to what consequence? I loved walking near Dwarven ruins, knowing they were all uniquely different and could hide wonderful treasures (Dragonbone Cuirass, various Temple artifacts, Sunder, Keening, Masque of Clavicus Vile to name a few) or going near an unpronouncable Daedric ruin, knowing some horror lurked inside if you touched a cursed gemstone. But you still never knew what you might find....Daedric weapons? Super rare (or they should be), and yet they are a dime a dozen in Oblivion.
Anywho, I've said my piece, being a long-time player of both games. As for Skyrim..well...this post will probably get moved for this...
Zenimax owns Bethesda, and they currently have 3 trademarks on the name SKYRIM. One for clothing, one for gaming strategy guides, and the last for computer gaming in general. Of the 3, the first expiration date that will arrive is July 28, 2010. They have already filed all 5 extensions for each patent that they can; you are limited by law to 5 and that's it. So by July 28, you will hear something, or they will lose their hold on the name. Want proof? Simply visit the US trademark website, a Google search will get you there. The name SKYRIM yields 4 results, the other of which is a Florida-based communications company.
So that's that. July 28 at the latest.
EDIT: Actually I'll make this easy: http://tess2.uspto.gov/, select "New User Form Search, then type in SKYRIM in the search box, and simply hit "Submit Query." Trademarks 1, 2, and 4 are Zenimax. Read through it, and you will come to the same conclusion.