Why is Interactive Digital Media a big thing in Singapore?
Well, of course, the first reason is bcos the Singapore government says so. Singapore is a place really, that if the government sets a vision, they'd really put in money and resources to get it done.
There's an exceeding high demand of media personels today, which of course, supply is low in. Microsoft for example, is going very much into the media space too, with the launch of the Expressions Product line, Silverlight, XNA, Ajax and many more upcoming.
Singapore's very good with IP and really goes all the way to protect it, making development of games here, safer. In a game, the critical winning factor is really the game idea and game play. Technology is really, just a tool to support all these.
DigiPen is coming to Singapore, exactly for this same reason. Asia is place with many talents, and defnitely a lower cost economy then the US or some parts of europe. However, it's also the place where many tech companies are afraid to do research in, as IP protection is not that strong.
http://www.animationschoolreview.com/sketches/2006/01/singapores-digital-media-industry-attracts-animation-school.html