In Malaysia, there are plenty of companies doing asset development for bigger games, even Codemasters Malaysia is the same. They're only doing asset development here as the costs are lower for the workforce. That's why during their presentation over at Comic Fiesta they've only stated explicitly that they need 3D modelers and animators.

As for companies that are actually developing games at the moment I can only think of one which is a mobile game/DS game development company. Not very good ones at that, but they seem to be surviving.

Regarding advice for starting a games development team. I would suggest to start small like many others have stated, a mod team should increase your exposure to various foundations of games design and other factors. While indie games will force you to think out of the box or build something with that needs a really big box.

As to gathering insight into the gamesdev scene? Pay attention to GDC, look up the past years' highlights, nothing gets lost in the Internet. DevDiaries is also a great place to start for people who wants to have a basic knowledge of how certain games achieved their aesthetics, since I know and have watched devdiaries from... Let's see: Capcom, Bethesda, Lionhead, Bioware, Silicon Knights, Codemasters, Bungie, Microsoft Games, EA, Insomniac, Sucker Punch, SCEA, SCEJ, Epic Games... and etc etc. Lastly, blogs can be an amazing source of insight as well. Platinum Games runs a great blog with lots of details from Sound to After Effects for games like Bayonetta/Vanquish and etc, Valve blogs usually brim with information after a new game release* (Until the stupid hats got released anyways.), Lionhead also tends to communicate with players plenty. Their official forums are also usually an alternative source for development insights.

*:Also, developer's commentary also provides good insights into games design.

Who the hell puts made in Malaysia or America or Japan in their product description for games? With DD services, you publish internationally, so no problems there either.

I disagree. Minecraft is a cult hit, and cult hits usually don't get much followers. The cult hit status stopped and minecraft exploded prolly when RPS/Kotaku started having so f***ing many posts dedicated to it.

I meant I was disagreeing with UserU when he said NOPE to you. Not disagreeing with you frags.

He's just lucky to have his game going viral, people test to see the hype. Get hooked, Notch gets profits.

Our Codemasters here doesn't even do games. They do assets development.

First, as noted. CODEMASTERS KL DO NOT PRODUCE GAMES. THEY MANAGE ASSET DEVELOPMENT. Sound and art assets to be exact. THEY DON'T. I REPEAT. DON'T MAKE GAMES ON THEIR OWN.

Secondly, Codemasters KL doesn't direct or produce the games directly. HOW WOULD YOU END UP MAKING A GAME SHORT OF IT'S EXPECTATIONS WHEN IT'S NOT EVEN MADE BY THEM?

Lastly, games development for bigger companies are already hell, it's a given in the industry. I'm not sure what stories you've heard, but if you're just going to come in here and badmouth a studio without appropriate proof, do it in a kopitiam instead of bringing nothing valid into a discussion.