I have this strange bug where I can't do anything in the game...it literally thinks its a console version. It asks me to use "RS" to look around, and then to chose my saved games, etc, it says press A or B to cancel. I press enter and it loads a game but once I have a game open I cant move or do anything. I don't have anything external connected, just my mouse and an external keyboard (I use a laptop).

Anyone have any idea what's going on? I've looked all over google and I can't find anything or anyone who's had the same problem.

You turned on the 360 Controller option in the Skyrim Controls Menu. Disable it and it will restore Keyboard/Mouse functionality.

You can manually disable it by opening the SkyrimPrefs.ini file located in the My Documents\My Games\Skyrim directory. Open the file and modify the following line:

[MAIN]
bGamepadEnable=1

change it to bGamepadEnable=0, this will disable 360 gamepad controls.

Save the file and then trying running Skyrim.