I believe half the issues you have with Dwemer are more on the game development's page than the lore I focused (and am more interested) on.
If you ever read the books in Skyrim, it tells you that the Dwemer metal is smelted to last, not for the sole purpose of war. While the armors and weapons are only forged for practicality, since the Dwemer smiths don't take their work very seriously (an assumption made by Calcelmo in one of the three books he wrote) and they have their automatons do the fighting, the armors and weapons that Dwemer themselves wear were rather primative in comparison to all their other inventions.
Besides, I don't see the reason for your tone with Vilkas killing a Dwemer Centurion; a giant killing a dragon with ease is just as absurd as how Bethesda decided to balance the game.
My point exactly, the NPC's scream in fear at them and then proceed to desimate the things which are all things to do with the development, I have little interest in the lore, I should have stated that it was mainly the implementation of these things that I found ridiculous therefore leading me to dislike the Dwemer related areas/creations rather than the lore behind them. As much as your original post was about the Dwemer lore, the post was relevant in terms of the primary subject.
Sadly I have little interest in reading the lore as I find it rather dull so you'd always be able to beat me down in regards to that but once again looping back to the Giant and Dragon, the Dragons don't do nearly as much as damage as the Giants do so I am not really surprised, game mechanics wise, that that is possible.
I'm not sure I really want to go all technical/logical/lore-ical or anything about this because at the end of the day it's just a game and as much as I wander through places and think "wtf, what is the point in that" I will still kill it and steal everything from it's body without a second thought. As much as lore is nice for some people it just bogs games down for me if I am honest so you really won't get an intelligent "lore conversation" out of me.