Level scaling seems similar to the Fallouts; equipment in shop and random drop scales, the rest doesn't. Enemies don't all get stronger, but tougher versions of them appear (Bandit/Bandit outlaw/Bandit thug/Bandit plunderer, what next, Bandit Jaywalkers?). My problem is that, beyond massive HP bars, not much seems to differenciate the tougher versions. Seriously, high level bandits wear bog-standard iron armor but can absorb more punishments that trolls?
And about that. Magic is utterly broken at high levels, because spell damage doesn't scale. Weapon damage does; with better weapons, but also various enchantments giving bonus to 1-handers/2-handers, perks and sneak attacks. Spells stay the exact same in damage, and get up to 100% in damage increase from perks. So your 25 damage spell will become at most a 50 damage spell, and is the only (say) Fire spell that is not AoE, and thus does not fry you as well as that troll bearing down on your sorry ass. Alright, fine and dandy, at level 10-20 it's still a nice spell, you can use two of them at a time and charge em up with a perk. But at very high levels, when enemies have hundreds if not thousands of HP (not counting difficulty bonuses), your (max) 200 damage attack every 4 seconds that burns half your mana bar barely tickles them. Enchantements can only reduce the Magicka cost, not improve damage, but that doesn't really help when monsters kill you in 5 seconds.
Meanwhile, the warrior has a 60-ish damage weapon on both hands, enchantments can give him something like 300% bonus damage, Power Attacks that deal even more, untold amounts of health and armor, and generally requires not much strategy beyond clicking stuff until it dies and chuck health potions when needed. Internal balance is utterly wrecked at higher levels, mages are harder to play and offer much less payoff for more effort. Even now, my level 6 mage has a much harder time than my warrior had at his level, because I barely do more damage than a meathead with a claymore, and if a guy sneaks up behind me I die in 2 hits.