Todd says that "there is a small compass bar at the top, uh, that right now is always there, uh, for direction."
I don't think this necessarily means that there will be quest markers on the compass.
This is true, of course, the original idea of a compass is not something that magically tells you where you need to go next, it's just a device used to help determine north, south, east and west, and having such a thing would be helpful for navigation in a game where you're told where to go via directions like in Morrowind too, as if you're told to head north from a certain location, you'd know that you need to go north, much like how you might use a compass in real life. It doesn't necessarily mean that the quest markers from Oblivion will be there. I do expect them to be, though, as that seems to be the trend in games these days, but the fact that there is a compass certainly doesn't guarentee their presence.
I just hope there's an option to toggle them off myself, whether it's an option in the game menu, or if when selecting my active quest, I can choose whether I want markers placed on my map for it or not, and to go along with this, there should be some form of directions given for quests, so not using the quest markers is actually feasible.
And I would not like the head turning thing, it just seems like it would be annoying if while I was just standing there looking at something my character suddenly started looking in a different direction, and it's not like that would "fix" the "problem" with the compass. The reason the compass bothers some players is because they see it as "hand holding", with it, the game points you in the exact direction of your next objective, rather than requiring you to find it by following directions. What this thread is suggesting isn't going to change that, it would just mean that the game has a different way of pointing out the next location you should go to.