How soon people forget Hexen.
That was made by a company whose headquarters is like, 10 mins from my apartment. Too bad they got bought by Activision, and after their last game (Singularity) tanked due to lack of marketing despite being an original game, they make downloadable content for COD.
Anyways, most people are missing what the OP is getting at. ES games, Dark Messiah, none of them are multiplayer or have any kind of "realistic" style combat. Mount and Blade is definitely closer to what he's looking for, so that's different. 3rd person games also tend to have ridiculous combat and overly done animations.
But I know exactly what you mean OP, and I think Mount and Blade might even be too "realistic" for this type of game, although, maybe not. But in the Warband expansion you CAN play online death matches. You start off with so much money to buy equipment, and if you kill people you get more.
But a smoother interface ala COD would be fairly cool. Also, M&B doesn't have any magic, it would be nice to see that kind of class in a multiplayer medieval combat game just to add more depth.