As Ellestra says above this topic regularly came up on Wotmania.

When I was reading this I actually abandoned it about half way through being bored with it. Only after reading loads of comments from others on how excellent the series was, did I decide to go back and finish it and I am very glad that I did, It's my favourite current series.

The pace of the book does pick up although not until close to the end. In truth I usually tell people that this is a book that needs to be ploughed through in order to get to the better stuff. Erikson's writing style improves a lot in the second book, this is probably due to the fact that there was actually quite a time gap between the writing of the two novels. Also while I know you are not confused by events you can't really understand what is going on until you read a few more books. It is one of the things I really enjoy about this series, how each subsequent book provides more information and perspectives which allow you to reinterpret past events.

I'd say that you should keep reading and also read Deadhouse Gates (perhaps you can get it from a library if you are still unsure about the series and want to avoid spending money). If you don't enjoy Deadhouse Gates than this series probably isn't for you. But a lot of people, including myself, have raised the exact same issues you have and have then gone on to love this series.