Too much information, forget I ever asked...
From a quick glance at Encyclopedia Dramatica's article on it, it sounds like something so horrible that it's an effective weapon against trolls. I find it hard to believe such a weapon exists, but if it works, good. I have to say, I'm enjoying the little topic-thread image on the article where people are pretty much giving up on life in droves after seeing it, that of all the perverted stuff out there, this one thing scars them the most. I guess bawww would refer to anyone's reaction at seeing said comic, reduced to a quivering babyfur mass of... okay,
back to Needlemouse.
You know, one of the Let's Play guys said that Pulirula was basically 4Chan: The Game. Well, now it isn't complete without the babyfur thing.