Love or hate or don't give a damn about Morrowind - is your choice, no need in arguing about that.
I liked Morrowind for a while, until i got bored just before entering the red mountain or whatever it's called.
The game was pretty fun early on: ya know, running around in the wilderness, exploring the world, looking at the shiny water, collecting items, having your own house... and that's all.
No roleplaying whatsoever. Story? Well, there is one, and i guess those who played earlier games of the series will like it, but i'm not one of them, so it didn't touch me at all.
So, I can't say I hate Morrowind.
I'm just saying that Morrowind is not RPG
It's a munchkin's oddysey with some minor RPG elements. Or an adventure, perhaps. But certainly not RPG.
Reasons:
1. Almost all of the NPCs are just plastic dummies with pretty faces (if you install the right plugins, that is)
2. NO dialogs whatsoever. There are hyper-text documents attached to aforementioned dummies. Of course, this way the information is easy to obtain, you just click the right keyword, and get everything you need. But hey: the same principle applies to a book or a journal.
RPG dialogs must be as close to real life conversations as possible, with jokes, threats, midunderstanding (sometimes resulting in violence) and lots of other things. The dialog options must really mean something, must be different, so that you could really think before choosing one, as the choice may have some unpredictable repercussions.
3. The gameworld, albeit being large and pretty, is dead to the core. NP...erm dummies stand still, no interaction between them, no random fights, no nothing. Gothic's world was much more alive, even though it had a pretty mediocre scripts/AI.
4. Freedom/non-linearity is geographic only. Of course, you can go wherever you want, hoiwever you please, but that' s all. You can't influence the world around in many different ways, no. You can't do something and then see the outcome.
Fallout had a ton more freedom, although its geography was smaller. There you could really affect the world either just by words or brutal force, and could see the effect either in the end of the game, or right after you did it. And the dialog options really affected NPC's reaction and many other factors, which, ultimately, may change the whole gameworld.
5. Dumb, munchkin approach to the guild/fraction system. Guild in Morr is just another check in the list of kewl stuff of the uber-character. It's so fucking funny to see a char with a rank of guildmaster in a dozen of totally different guilds, although you've only been there several times, just to get some quests, do them, receive the uber-rank, and go away, never to return.
In BG2, for instance, the guildsystem was much better, although it wasn't actually the guilds, but more like <insert class>-fortresses. But it was actually interesting and even offered a replay value increment, because each class had a very different fortress/guild, which you could always call your home, because you really affected its inhabitants and saw the consequences.
Gothic also had a much better approach. Guilds being the definition of your class, and were therefore very different.