Hah! Since when has magic been overpowered in Elder Scrolls games? It's always been melee-oriented. I can't count Skyrim in this, but from Arena to Oblivion, the melee-weapon system has always been on top. Oh sure, high-level spells that both weakens and damages you have been known to be too powerful, but you're counting on high magicka, high levels, and very few uses to even consider it.
And in my opinion, they should just destroy fast traveling. They should also take out quest markers, save for the compass.
i think that it would be awesome if you could get followers in the game or hire mercs.
I would support this if the ally system is much better than how it was in Oblivion/Fallout3. You can always count on your aim to be imprecise and cleave your ally in two if he/she is too close to the enemy.