I'd definitely say it's due to the limitations of console technology here, Oblivion had this, and Oblivion got mods that remove the transitions for cities, so it seems obvious that in this regard, it IS the consoles that are limiting what Bethesda can do, not that I'm using this as a reason to criticize consoles, it's just that it's a fact that the Xbox 360 and PS3 don't have the same level of hardware as a modern PC, in particular, they have less RAM, which I think is probably the main factor here, this doesn't mean the consoles are bad, it's just an inevitable result of them being several years old by now. But there's not much we can do about that, it seems quite clear that the consoles are the primary demographic Bethesda is targeting, so of course they have to make sure the game runs well on them, so I don't think we'll see another Elder Scrolls game without transitions for cities until the next generation of consoles is out. In fact, Todd Howard himself seemed to indicate in the video that they might be able to do that if they had more advanced hardware to work with, they could have open cities, but there's nothing we can do about that. Regardless, having all the cities seperate from the surrounding areas doesn't bother me THAT much, it's just one more loading screen, and we already get those for buildings anyway, at least with cities, I have to load them less often than with buildings since I usually need to enter more than one building each time I visit a city, the main thing about cities not being open that bothers me is that it makes levitation rather hard to do, but I didn't really think Skyrim would have that anyway.
Yes the consoles don't have the same hardware,that's obvious,that's not what i'm getting at. People just expect too much sometimes,or can't wait to jump on the consoles....and it pisses me off.
There are benefit's to loading cells,even on powerfull machines. If they really wanted to,they could do open cities on consoles,but it would take away more detail,NPC's allsorts....It wouldn't be that good at all. I see no problem with a loading screen.You'll be waiting from 5-20 seconds,it's not going to kill anybody. What get's on my nerves is that people forget about the changes and all the extra stuff bethesda are trying to give us,and moan about ( in my opinion ) pissy little things,like it's the end of the world. Sometimes as fans we can be fickle and forget about the bigger picture.