The power of terrorists doesn't derive from military strength but, as the term suggests, from terror and fear that their attacks create. Terrorist attacks therefore need media coverage in order to be successful, and the blanket coverage of the Mumbai/Bombay attacks is unfortunately giving them a victory of sorts.
Without television as a force multiplier the events in India would just be a mob of war criminals launching attacks on civilians and then being routed when a real army shows up. Yet Television imprints images of carnage and chaos into the minds of millions of viewers worldwide, even though rationally the scale of the attacks is miniscule in global terms.
I realise that this isn't China and we cannot simply censor coverage of terrorist atrocities but the coverage should be more restrained so that even the slowest terrorists realise that they are wasting their time and their deaths won't even make the front page of the local paper.
PS. I have made this point before in 2006 and 2007.