Its a living and breathing individual inside the womb.
It certainly isn't a 'breathing' indivdual, a baby does not breathe in the womb. It only takes it first breath of air when it is born.
EDIT: I would also diasagree over the term 'individual' as it is attatched to it's mother by an umbilical cord and shares her nutrients.
Babies do indeed take "breaths" within the womb. Not necessarily of air, but of fluid. They also yawn, burp and get the hiccups. I've actually felt baby hiccups! Its pretty neat!