Yeah. We definitely have a different perspective. I certainly agree that the Septim Dynasty nearing its end was far from perfect and perhaps questionably credible. However, they had a divine right to rule because of the Amulet of Kings and the necessity of a Dragonborn Emperor to light the Dragonfires in the Temple of the One. Especially with the Oblivion Crisis, it is increasingly apparent how many take the Septim Dynasty for granted given their sacred duty to maintain the barrier between Oblivion and Mundus.
The problem with Titus Mede II and the Fourth Era emperors is they do not have a divine right to the throne. Even with the barrier between Mundus and Oblivion allegedly, permanently sealed, it gave previous empires legitimacy for their reign. Now those who claim the Ruby Throne are merely partaking in mortal affairs that have no relation to the Divines. With how poorly the empire has been managed, provinces seceding, and the controversial White-Gold Concordat, I'd say things haven't been worse in a very long time. At least the empire was actually united under the Septims.
Now the empire has been reduced to Cyrodiil and High Rock with everybody else either part of the Dominion or independent. At this point, it's almost illusory to even call it an "empire" considering the territory aggrandizement methods the Aldmeri Dominion has used to consolidate power and authority in Tamriel.
I am not ignoring Daggerfall at all. I'm merely saying that it cannot be used as an excuse to not consider it as a future province. With Arena, we technically saw every province. With ESO, we technically see every province. One was developed twenty years ago at the beginning of 3D world building and the other was built by a separate developer in the form of an MMO. I see little value in using them to justify what BGS should do next.
I disagree about Morrowind vehemently. It was very human-esque in its approach. That's why I liked it. That's why it was immersive. It felt real and I could relate to it. If it was too fantastical and strange, it would just be another fantasy RPG. Instead, Morrowind was dealing with the issue of slavery, discrimination, separation of church (Tribunal) and state (Empire), mythology, prophecy, history, and many more facets. That is why I loved Morrowind, and I believe that's why many others did as well. It wasn't because of the Dunmer or the giant mushrooms. That merely added flare to the environment. The history of the land, the culture of the people, and the player's position in all of it is what made the game so memorable.
I wouldn't mind a game set in Black Marsh. It would also be interesting to see if the Argonians captured various Dunmer during the fall of the Ministry of Truth and brought them back to Argonia for the purpose of manual labor and servitude. I also believe the Hist and the nature of Argonian culture could lead to some interesting possibilities. With the Aldmeri Dominion being that far east, however, you would think Cyrodiil and the Imperial City would have fallen by that time more than likely.
I love how you just entirely discredited Skyrim and its explanations of how the Redguards repelled the Aldmeri Dominion invasion in Hammerfell. Classy.
My only major criticism, other than you indirectly trashing Skyrim and Hammerfell lore, is that you have this assumption that the empire is still relevant. I don't see that. The Fourth Era really seems like a return to the Second Era after the Reman Dynasty. This is a period of turmoil, instability, and a weak central authority. There are no strong emperors. The ones who do rise are being ousted or assassinated just as quickly. This is a period where the empire really just isn't a major player. I think it's more likely BGS will take this into a different direction where outside forces will have to upset the Aldmeri Dominion stronghold to bring unity and stability back to Tamriel.
Your idea of Akatosh and Lorhkan getting into a fight is interesting, considering Lorkhan is dead. Unless you believe Mankar Camoran that the Aedra are pretenders, Lorkhan is actually a Daedra ("true divines") who cannot die, and that Tamriel is his plane of Oblivion? Not really sure where you are going there.