I played Arena back in the 486 era. Man...what a piece of crap. Every NPC looked the same, so it was hard to find the right person for quests. There were a jillion dungones, sure; but they were all pretty much exactly the same inside. You would walk into an empty dead-end room, turn around, and then your disk drive would start spinning to clue you in that a monster had just spawned behind you in that "empty" room. (This was not a rare occurrence, it happened all the frickin time.) Yuck.
I was so turned off by Arena that I never wanted to play ELder Scrolls again. And then the million-and-one reports of horrible problems with Daggerfall simply cemented that feeling. Morrowind got mostly positive reviews and feedback, so maybe I'll be willing to give Oblivion a try when it comes out. But frankly, I'm more interested in making time for old RPGs like Planescape Torment, or finishing Baldur's Gate 2, than the new Elder Scrolls offering.