There are so many possibilities, and us as fans know, Bethesda are a company that prides itself on possibilities. Will it truly be a new location? Perhaps we will revisit an old world that has been completely changed on a new game engine. Maybe there will be a combination of old and new? The technology is there for such a possibility after all.
A game taking place in Valenwood would provide for an incredible visual experience. Home to the Bosmer (or Wood Elves), this location features lush greenery and massive trees, similar to Lothlorien in Lord of the Rings. Giant trees called Falinesti are home to the Bosmer cities.
If it takes place in Black Marsh, then the game will revolve around Argonian culture. This is one of the more fascinating locations due to the oppressed social status Argonians occupy in the rest of Tamriel.
A new faction like the Shadowscales would be possible to play, which is noteworthy because they are only heard about in lore and occasional conversation with NPCs. There is also a strong Imperial presence, providing both a faction and a dynamic in architecture. As for ruling political bodies, these details are rather ambiguous and holes that are underground could be added as houses.
Why not incorporate an old setting like Skyrim with a border province like High Rock? How about heading south into the equally large Hammerfell to continue the fight against the Aldmeri Dominion? Quests would be more immersive, able to span across both provinces, with the possibility of more factions too.
The Ps4 and Xbox 1 could definitely handle such a thing, building off of the success and ease of Skyrim’s foundation by adding a whole new province while keeping its landscape. Create something new, but also familiar at the same time.