So far what I've managed to piece together from the stuff I've read is this:
"In the beginning" there was only...well...nothing/void/Sithis.
Then (somehow), two...entities? dimensions? forces? emerged, one was chaotic in nature (Padomay) and the other was orderly and stable (Anu).
The two forces (I'll just refer to anu and paodmay as forces for now, for easy reference, correct me if thats just plain wrong!) were connected through the realm from which magic originates: Aetherius.
From Anu, several spirits and entities of all sorts came into being, the same applied to padomay. The spirits that emerged from Anu would later (although time wasn't linear "back then") be responsible for the creation of the world of Mundus (the mortal, or mundane world in which all elder scrolls games take place) after being convinced to do so by a Padomaic being known as Lorkhan, but the Anu spirits decided to sacrifice vital parts of their power and being in order to make Mundus a more comprehensive and less singlethemed, stable place, as a result many of these spirits became greatly weakened, or died out entirely, but eight of them remained very powerful, the first of whom decided to lay the final touch of stability to Mundus and used his power to create the time-space continuum as we know it (time became linear, roughly the same laws of physics that apply to the real world, now applied to Mundus), this being is ofcourse known as Akatosh.
Ok I know I've left out LOADS of stuff, like where Oblivion fits into the picture: The plane of Mundus floats around in Oblivion or something? Does this mean that Oblivion is just another word for "Outer Space"?, and if so, how do the separate Daedric realms fit into the picture?
Anyway, if any of these questions can be answered or if my idea of the order of dimensions is flawed, please correct me, thats the whole point of this topic. http://static.zenimax.com/forums/images/public/style_emoticons/default/user.gif