Hi everyone! I decided it's enough time messing around and thought I'd reinstall my PC copy of Morrowind GOTY. I never really got into it, I much preferred the feel of the Xbox version but after seeing the new graphic overhaul 3.0 I decided it couldn't wait any longer. My question is, and I'm pretty computer challenged, after it finished installing it asked me to install Microsoft DirectX 8.1. Please bear with me, but I don't really know what this is. Correct me if I'm wrong, but I feel like this is needed to run the game correctly? I'm on Windows 7 by the way. Also if I install it will it prevent other games from working correctly on my PC?

You don't need it. A newer DirectX comes shipped with Windows 7 so you're already ready to go.

What Freddo says.

All you need to do is to install Morrowind in this order.

1. Morrowind+Construction Set
2. Tribunal
3. Bloodmoon

There is no need to install any patches and remember it's important to install Morrowind GOTY in that particular order otherwise you'll see a lot of strange stuff.

Also, do NOT install Morrowind in any C:\Program Files(x86) related folders and turn off UAC (User Account Control) in the control panel, because if you do the game would probably not launch and that's http://www.gamesas.com/topic/781497-vistawindows-7-problems/ to blame if that's happen.

Good luck!