Why is the coverage this time so overwhelming? Maybe because the terrorists carried out a publicity coup by singling out Americans and British citizens and by choosing a Jewish center (yes, there are Jews in India; there have been Jews in India for centuries) as one of the places to attack. By focusing on the USA, UK and Israel, the terrorists are trying to align themselves against our highly unpopular (in the Muslim world) policies in Iraq and towards Israel. And by immediately jumping in with wall-to-wall coverage when this happens (as compared to more cerebral coverage when American lives were not at stake), the American media is only serving the interests of the terrorists.
A little perspective served with a little less emotion would do wonders to reduce the incidence of terrorism. It would, incidentally, also serve to keep Americans safer when they travel.