It has a great story but lacks gameplay.
Leveling up the character can also be a pain, and the skills also have a lengthy procedure (maybe it's made for the lengthy nature of the game) how ever, the story is quite superb, sadly the game didn't force me to play it once more, but you should know that Oblivion is much better than this junk. So, if you are interested in Tamariel's story, you could just rent this and try it before you can buy it.
2003 had better rpg's like Neverwinter nights, icewind dale etc. I found them to be more enjoyable than Morrowind. People's opinion might be different from mines because the experience of playing this game in 2003 would be completely different from playing it in 2006.