I've just discovered the ease of creating fabric with the needle punch accessory from Bernina http://www.bernina.com I have been using synthetic organza as the base & punching in wool fibres. It's so easy & quick to get a new felted fabric which can then be cut & stitched onto something else or used as is or....
There are special embellisher machines dedicated to this technique & many textile artists have been indulging in wonderful creations. Jeanne Williamson is one who comes to mind who has successfully used the technique in a year's worth of weekly mixed media pieces. http://www.jeannewilliamson.blogspot.com/
The felting attachment blends edges & you can achieve painterly effects. Will be playing around with this one a bit more. Will have to find a place for all the lint coming out of the machine too when the needle punch tool is used- why just put it back into the next piece!