This is a Petersburg Orchid, a toy breed of dog that weighs in at about 4 pounds and costs around $1000. In Russia.
It's a new breed, possibly a mix of a yorkie and a stalk of broccoli.
It's been one of Yahoo!s Most Popular images this week, which probably indicates that a lot of people saw the thumbnail and just had to see what the hell it was.
The nice thing about this turn of events is that the Russians are becoming interested in small dogs specifically because they are bourgoise. In the Communist USSR, only larger dogs were in favor. Now a dog can be something that only returns love and doesn't have to be a working dog.