For the short amount of time I've had to play the game, I can say that there is definitely more combat sequences in Oblivion than Morrowind. This is a good thing since the combat actually quite enjoyable this time around. At first, the battles seemed too easy for my warrior-type classed character. However, after getting my butt-kicked by two magic users who summoned ghosts and zombies while launching lightning and fireballs at me, I realized that I may be in for a genuine battle. I died several times and out of pure frustration, I was going to lower the difficulty on the game. But, before I did, I attempted the battle one more time and I defeated one of them with a stealth bow and arrow kill and the other just by bashing her with my steel mace. The battle was intense! The best part is that this took place in one of the first quests I undertook and there will be many, many more to come. The only issues I have with the gameplay is there is some slow down on occasion and loading new areas can get annoying. But, neither of those issues are really disruptive.
The landscapes are totally breathtaking. There is some draw in for distant details (trees and grass look 'muddy' at a distance), but buildings, character models, weapons, spells, caves, etc. look top notch. The character creation engine is pretty extensive. However, most of the options are all facial based. I would have liked to have been able to adjust height, weight, tattoos, facial hair, and other touches.
The music is great and perfect for the game's settings, there is an obscene amount of spoken dialogue with great voice work, and the sound effects are perfect. Nothing much else to say.
I'll probably be playing this game for months and still not get bored with it. So far, it has met all of my expectations and then some. Plus, since it is the only RPG out for 360, it will be on the top of my list for quite some time.
All in all, I believe this is one of the best games I have ever played. I enjoy the whole Elder Scrolls world and gameplay. However, if your not a fan of RPGs or you just didn't like the previous Elder Scrolls games, you should probably stay away from this one. However, if you are fan of RPGs, than this may be the best one of them all.