Pathfinding is very intensive on the processor. Using the A* method, (which is the method most likely used here) it lays out a grid that check terrain and assigns a value to it based on weather it can be passed, or how much it prohibits/inhibits movement, and that value is added onto a rough guess on how far that gird square is from the destination. This process is repeated many, many, many times. Then, after all that, it picks the shortest route. This is just grossly simplified summary of pathfinding. As you can see, it's tedious and wasteful.
I was thinking, 'how do people pathfind?' and since I was walking down the sidewalk with no one to ask, I thought; 'how do I pathfind?'. By memorization: After following a path so many time, you memorize it, so, why doesn't AI memorize paths they're going to take thousands and thousands of times?
All you need to do, is have an NPC record certain paths it takes regularly, and run a quick check to see if that paths available, and if it's on a segment of a known path to it's destination. Then, we're golden. The downside to this is more used disk space, the upside is vastly more populated worlds or complex AI.
I know, Beth may already have something similar in place. but if not, then why not? This could make TES much more alive!

