If anything, the improvements to combat sound really cool but it's best to see some gameplay videos before getting excited.
Personally I'm looking forward to comboing my enemies with a chain of spells to the point where they just can't react. Then, axe to the head like a true nordic warrior!
EDIT: Art direction update, dude clearly acknowledges the tolkien-esque theme of Oblivion and says that Skyrim will be much different stylistically.
Game informer article/video
