The terms Procedural and "Product of a computer algorithm" specifically mean generated by a computer. To say locations were computer generated is wrong. "Cookie-Cutter algorithm" (referring to humans building something to an algorithm) maybe, but procedural? No.
And actually, outside of the Radiant Quests, Skyrim's characters and dungeons are very contextual. What is lacking is in the loot mostly. The dungeons are very immersive, have a distinct purpose and there is often a story to be told in each of them (unless it's a one room cave with say, a bear in it), but they have two flaws - loot which does not fit because it WAS placed procedurally and the fact that most are far too linear.
Morrowind was admittedly better in some ways, though it still suffered from random caves for caves' sake. Other dungeon types were fine, but the caves were often just caves. Also, Morrowind's dungeons were just as cookie-cutter as Skyrim's (as in, not very), with the exception that loot made more sense. The dungeons rarely had stories, but this wasn't too bad as you got the idea of what was going on anyway. They were also the smallest of the series, but this did make them more places than dungeons.
The radiant quests are a call back to Daggerfall, intended to be a solution to the problem of running out of acceptable quests.
yes, i understand your interpretation of algorithm and i obviously don't know exactly what his entire meaning of the phrase consisted of. however, specific is anything but the only meaning of the phrase.
for me, it means much more than a computer generated repetition or hand-crafted locales.
even contextual has issues with many, since, it's hard to find non-contextual locations: caves' sake is exactly what many want more of.
radiant quest has nothing to do with what i'm talking about. in fact, i could care less about them. there's enough content already and too many other aspects got whittled or eliminated.
again, i'm talking about context, flavor and purpose outside of specific quests and graphics.
edit: really, what i'm talking about is exactly the question the op put forth: is skyrim 'alien?' for me, hand-crafted locales has nothing to do with it. graphics and art style don't matter. radiant quests are beside the point.
skyrim is anything but unique or compelling.