Really? :huh:
To me, the screenshot makes it look open (and climbable).
You can even see a tree trunk at the top.
That doesn't really say anything unless you can actually reach it. Putting tree trunks at inaccessable locations isn't that hard. Although when I learned that this was a major city, I got the impression that cities will be open, but that isn't necessarily the case, as those cliffs look like they wouldn't be scalable to me, and if they're not than having this city be a closed one would only be a matter of putting a wall and loading gate over the one entrance into the canyon, which, I'm guessing, is down stream from the city itself.
For that matter, the screenshot doesn't even tell us that much about the size of this city as there may be more structures down stream, not to mention I get the impression that this city is partially underground, especially if the speculation that it's one of those settlements in Dwemer ruins type cities we've heard about is true.
But that is what makes the world so great, it feels real.
No, it's what makes players want to take the disk out of the drive, snap it in two, and never touch the game again.
Do we have flying dragons now?
Yes, we do, but that doesn't guarentee the presence of levitation. It obviously means the game has the mechanics for flying creatures, but whether the game will allow players to fly through use of a spell is another matter. In fact, I could see Bethesda leaving levitation out BECAUSE of the presence of flying dragons, because they want flight to be an ability only dragons can use.
More importantly, the buildings in the cities in Oblivion are compressed in size. The interiors are almost always larger than the exteriors, and sometimes don't even match the shape of the outside. Making the buildings big enough to contain their own insides would require making the cities take up more landscape and leave less room for wilderness. It would also require the interior and exterior designers to work much more closely together instead of creating their sections separately based on concept designs.
If you ask me, that's a reason why having buildings be open would be a good idea, it forces the designers to ensure that the interior and exteriors of buildings match, which is how it should be. Really, they need to do away with the interiors of buildings being magically larger than the outside, the only cases where that should happen are if there's actual magic involved, or if the extra interior space is all underground.