From playing Oblivion a few times, I've found that I like the "battle-mage" type class the most. I equipped my character with the standard heavy armor, sword and shield combo, but specialized in magic so that I could increase those skills a lot faster. I would have the D-Pad configured to have the crucial spells like a touch destruction, ranged destruction, detect life, etc, and could switch between all of the spells with ease. This allowed for a fluid combat experience where I didn't have to go to the menu to switch what spell I wanted to use every 5 seconds.
With all the details about how the combat system will work, I'm skeptical about how I can implement this style of gameplay. Two things really stuck out; dual wielders will not be able to block, and "up" on the d-pad now brings up an in game favorites menu where you can quickly select different spells or items.
In regards to magic use and blocking:
Will Skyrim still allow you to cast spells while having both hands used (i.e. sword and shield), or is it for certain that you have to designate an empty hand to spell casting?
In regards to the hot keys:
It's already be said there will be a favorites menu, but will the other directions on the D-pad be available for the traditional hotkey system?
If you have any insight on how this system could work, post it up!