A remaster of Morrowind would be an absolutely herculean effort.
And I'm not talking about the graphics.
Morrowind's engine has no Occlusion Culling or any semblance of Binary Space Partitioning. This necessitates the five-feet-in-front-of-your-face fog, as the engine is literally rendering EVERYTHING within (and beyond) that fog distance without ANY BSP logic telling it to not render what the player can't see. The only closest thing is the Cells system, but that's for memory management, not rendering
Yes, that's right. Morrowind's engine is absent of a rendering technique that was revolutionized in Doom almost a decade before. That's like Unity's lack of High Dynamic Range - Except worse since this is a MAJOR performance killer instead of "muh graphics" moaning.
That is the SINGLE biggest performance killer in Morrowind, especially if you use a mod that increases view distance, as it will render LITERALLY EVERYTHING within the player's view distance radius, all three hundred and sixty degrees around, with NOTHING un-rendered. This shit kicks the ass of even the most powerful PCs to this day. You'd need the Avatar rendering farm to run it at a solid framerate with a high view distance.
Also - Some parts of the engine make use of a pre-X86 instruction set and a handful of long since deprecated X86 instructions. This wasn't an issue back in 2002 - Pentium 4 and other processors still supported them natively. Modern processors can still run them, but anything newer than Pentium D has to
emulate these instructions, which is yet another drain on performance, even if minor.
Those engine issues alone are the biggest barriers to a Morrowind remaster. The gaming mainstream would TRASH it if it still had that damned fog - And to get rid of that fog would require serious heavy lifting beyond the scope of pretty much every remaster.
...Also if the combat is to remain intact, it's absolutely mandatory that they would program an animation system in akin to KOTOR's that SHOWS every single dodge and parry in detail instead of what it looks like now - Otherwise the mainstream would absolutely MOCK the game AGAIN* over the combat being two people standing in place wildly waving their swords at eachother back and forth at point blank CLEARLY hitting eachother, but arbitrarily missing because the game said so.
*
(You want to know why Oblivion got rid of dice-roll combat? Because Morrowind's flaccid combat became one of the biggest memes of the gaming world back then and to this very day in mockery of Bethesda. That's not something to be proud of. So they took the easy route and just simply gutted RNG for the sequel)