Enchanting and smithing sure need a little rebalancing.
And you can indeed survive at upper level without it. Some would actually say it's bad to invest on smithing because the level-scaling will make your charcater unable to kill anything if you get a few levels from upgrading smithing. I disagree with that, as smithing basically lets you upgrade your weapons and armor as much as it being worth 30 skill points of one-handed/two-handed and 30 skill points of light armor/heavy armor.
I agree.
From the slight time I have played. The best investment I did was into smithing.
Being able to, just from smithing, give my weapons a near 30% damage increase, at this low level.
Its definately worth spending a few levels into smithing.
And possibly it is a little game breaking and needs tweaking.
The ONLY tweaking it needs however, is to stop being able to level up smithing using novice receipts.
That you can continue to level up smithing just creating Iron Daggers is redicilous. There should be a level cap, and as such make it more expensive and take longer time, since the stuff you do make, is rather powerful if you focus on this.
But, it does take some perks, and it does require ALOT of gold and will increase your level dramatically.
And, you wont be able to increase it too fast since iron ingots is not that easy to come by early in the game. They are cheap but vendors only have a certain amount. But you do find enough thats for sure.
You should only be able to level smiting from Iron Daggers up to maybe lvl 30, then you should be forced to create dwarfen, then orcish, if you do heavy, for example.