The problem with Muppet Babies is basically due to the mind set at Henson in the 80's. I feel that it was the first step in an unfortunate slide of branding Muppets specifically for children. Even without that series, there was a sign they were sort of doing that anyway, and pushing Creature Shop creations for adults and older kids. It is highly unfortunate that a lot of people remember the cartoon series more, but considering the fact that was the longest running Muppet TV project since TMS, and constantly rerun through the mid-90's, the only other media that was accessible was the line of movies. And there were only those 3 at the time. Plus, the occasional special. I've said multiple times, I've been lucky enough to have one of the stations, early Saturday morning before the cartoons started, to run the actual Muppet Show reruns. And, you have to admit, it was a high quality preschool series (it didn't treat the audience of younger kids like they were morons like Dora does), and a very high quality cartoon for the time it was produced, the 1980's.... But that's another story for another day.I agree with you about the Babies, but always get flamed for it. When I talk about the Muppets to anyone 25 or younger they think of the Babies first and some start humming the themesong. It makes me sad. The animation and character performances don't have the grace and nuance of the Muppet puppets - the very reason that I love them. The Fraggle Rock is a lot more interesting now having watched the series on DVD, but there were so many lost opportunities in quality.
Fraggle Rock's cartoon was a little bit different (and I can think of several things worse than that Henson produced... especially the inconsistent quality of the play-along videos). Not to mention HBO was the only station that actually wanted to broadcast it, leaving us kids without cable (or without premium) to make do with the cartoon series. Now, I don't know why NBC didn't get some sort of license to rerun the series (which would have actually been cheaper and worked better), but it did manage to bring the show to the less fortunate. After watching both the real and animated series, there wasn't a huge mark drop in quality for me... just, things were a lot different in ways of what they could and couldn't do. I think they could have had much more Fraggle Rock style story-lines if FRA didn't have so many episodes that were 11 minutes of one cartoon and 11 minutes of another. Plus, HALF the voice actors did a good job (Rob Paulsen especially)... but it seems that when they auditioned Junior they said, "okay, We've been here a while so whoever can do the worst impersonation of Elmer Fudd gets the job."
However, I feel the BEST Henson cartoon series was Dog City. It managed to do what Little Muppet Monsters was SUPPOSED to do, the cartoon was excellent in writing, acting, and animation (big 1980's and 90's Nelvana Fan right here)... and the interactions between Puppet and cartoon were true magic, not like LMM's experimental mesh that didn't quite mix. Far better than the other two, and highly underrated as a show entirely. Though I hear they reran it for years in Canada.