You youngsters and your graphics. I remember back when Morrowind was considered visually impressive. It still is sort of beautiful, in its own homely way. But if you really need shiny objects, there's a mod that brings Morrowind up to Oblivion's graphical level, which is just a pinch behind Skyrim:
Welcome | Morroblivion: The Resurrection of Morrowind
I feel that Morrowind's story's a bit stronger, I really liked the atmosphere. The Tribunal, the Nerevarine and the Heart in the Mountain return as plot elements in both Oblivion and later in Skyrim. The "Stranger in a Strange Land" theme they followed with Morrowind has been the franchise standard since, and Bethesda has been quoted as saying that's what they were striving for with Skyrim.
Game-play wise, it would seem dated to younger players. In our age of instant gratification, a lot of the classic elements of this genre (the role playing game) have been lost. There are more of the classic RPG elements in Morrowind, and they're enforced with a vengeance.
Be ready for a more challenging overall experience. You must sleep to level up (in Oblivion as well.) raising some skills take a bit more work, you can't run everywhere or you'll soon be exhausted. That sort of thing.
Both Oblivion and Morrowind are really strong titles, I'd recommend them both. And each comes with some really good expansion packs and DLC. The Shivering Isles for Oblivion is possibly the greatest DLC of all time, and The Tribunal for Morrowind is a very strong DLC as well.