Er, no it isn't, not even close.

Becoming overpowered isn't a game breaker for me, not in and on itself anyway. Deus Ex is a good example of this; you're overpowered almost from the start, and certainly by the halfway point in the story but the varied gameplay that leaves plenty of options both through action and dialogue and the amazing narrative and story kept it fresh and enjoyable. The combat was simple and direct.

I also love Morrowind, but that is also guilty of overpowering your character, one of the worst offenders being the fact that you can actually enchant your weapon with all the damage effects at once, unlike in Oblivion or Skyrim (and Daggerfall as well), which causes ridiculous total damage that damn near one-shots every enemy in the game besides certain bosses (like Dagoth Ur). The enchanting system also allowed for the wear of several items enchanted with strength (or other stat) bonuses, you could enchant rings, necklaces, pants, shirts, cloaks etc with strength 1-47 and just keep eqipping them until they yielded a 46 bonus, allowing you an easy 300-400 strength and ridiculous melee damage.
Perhaps more an exploit but the enchanting system was simply broken, it was also way too easy to steal things and the chameleon ability applied to gear made you damn near invincible.

Don't even get me started on Oblivion where I had one character with 105% damage reflection and 80% magic resist and/or absorb... He was literally immortal.

I also hope that CDP stays the course and don't fall in the same pit as Bioware and many others and mainstream the hell out of their RPG's until only the skeleton is left, Bethesda are also on their way down the same path but seeing Fallout 4 has given me some hope again. Eager for news about TES VI: Argonia as well.

Yeah, I used to love Bioware (though, even back in those Interplay days, I was alwas more of Black Isle fan), these days I kinda frown everytime I hear they're making something new. Mainstreaming WRPGs is, IMO, slowly but surely killing the core of the genre - I really wish someone has the sense (and balls) to make something like Vampire: The Masquerade - Bloodlines again, that was WRPG that had action combat, but was true RPG through and through, with all the different ways you could play it.

I logged in just to say no.

In Morrowind I chose a character with weakness to magic, fire and other, so, despite being already overpowered in many stats and skills (but magicka is always scarce without using overpowered potions), it can still be challenging, particularly in Bloodmoon, Tribunal and Firemoth expansions. Also, to keep it as challenging as possible, I always play without the automatic choice of the best attack, so that I must choose the attack based on the stats of the weapon I'm using.
In Gothic II being overpowered in some things doesn't make it dull and not challenging, as long as I don't use summon demon (and I use it very rarely, almost never, btw in GII you can use it only from rare scrolls, you cannot learn it and put it in a runestone).
About your previous post where you answered me:
About dodging by side or back-stepping, maybe the latest patch did it, maybe it's just me that played when tired, lately I have scarce success side-stepping and higher back-stepping to dodge the attacks of the strongest enemies. With some beasts, particularly fire lizards and both kinds of snappers, it was the same also before, but with orcs just lately, and I didn't install any other patch in the meantime, so maybe I played when tired and I didn't time the steps well.
About controls and some limitations they give on some complex attacks, I don't complain about difficulty, instead I'd prefer to be fully able to use controls complexity to its full potential to make, besides the other ones already possible, other complex attacks (like circle strafing with ranged weapons, or circling and attacking also with hits different from a side slash), and, like it's already done with every attack possible in Gothic games, by commanding them directly in their phases, without having scripted and dumbed down ones, where you time a single button hit and watch the attack happen, like in those dreaded dumbed down games we both hate.
Despite not liking games too weasy, I'm not against autoblock when using a shield (with effectiveness based on stats), as having just two hands, using them to control view, movement and attack, besides all the other less used commands, is already quite challenging, that's also probably why in Gothic games I succeed a lot more with dodges than with parries, as the former can be more smoothly blended with movements than the latter with attacks, using both defences using both mouse and keyboard, but with parry requiring also a mouse click, like attacks.
About the rest you wrote, I almost totally agree, except on games I still have to play, obviously, but from your descriptions it's quite likely I'll mostly agree on them too.
One last thing about G II: I don't like that except that one in Jharkendar swamp, they removed every ladder, making also the highest floors of the Valley of Mines' Castle and of its inner walls and tower inaccessible, as if making large parts of the Valley almost inaccessible and totally empty weren't already enough.