You can see flames in the windows and smoke billowing from the top of the building.
Here's Fox's live feed:
What is the hostage situation?
AQ thinks pretty far ahead, setting car bombs to catch first, even second responders unaware.
My money says the fire was planned, possibly where the hostages are, and sparked off when the Indians rushed the hotel.
Look for bombs outside at assembly staging areas too.
Step further back and watch elsewhere, other continents even, this is all part of a very long term plan.