I always found the "Too much dialogue" complaint "some" had from Morrowind to be absurd, why don't we remove leveling, exploring and the tons of skills in the process and fill the game with CGI cut scenes everywhere.
No, ES to me is a series that works with excessive Dialogue, it's an extremely lore heavy series and I like it that way, there are many hours to be wasted bashing things later, for now you should be able to deal with sitting your ass down and listening to a nice story or two, you'll live, maybe even learn a thing or two, otherwise ES is obviously not a series for you.
The problem isn't that there's 'too much dialog' as much as it was 'paragraphs that don't sound like speech are dumped on you without notice, and you have to read it all or else you'll miss a vital clue to the quest', ie, information overload. Having the characters speak what's necessary in a manner that sounds natural, and delegating the majority of lore to books or in-game speeches (there were a few spoken lectures in the Arcane University that went at length), is just better overall. It gets presented in a more manageable and believable fashion.
The problem I had with oblivion was actually not bad writing, but horrible, horrible voice acting. Most people say that the problem was in having too few voice-actors.
I would say it was due to the amount of dialog. The voice acting was far from horrible, but a voice actor isn't going to do their best 100% of the time, so not every line will be perfect.. they have to be coached and do multiple takes, and afterward, the best takes are found and used. When Oblivion came out, it had an almost-unheard-of amount of dialog for a game. This meant there had to be a lot of time dedicated to voice work, both in recording and post-production, and it's entirely possible they under-budgeted it, both in money and time (even in fully patched Oblivion, there were multiple goofs in the voice dialog). This is not necessarily the actors' fault, or even the fault of the number of actors -- though the latter did play a role in the overall quality, as each actor had to do more character-specific work and couldn't be very racially distinctive. It's more of a fault of time constraints, and I'd hope they've learned that more time should be put towards dialog now.