Yes, the biped is part of the character studio add on, it becomes the bones and you lay mesh over it using a physique tool. The physique modifier allows you to adjust the envelopes for each bone. The main advantages of c studio over just using bones is improved inverse kinematics (with ready set joint limits) and also the ability to create a library of motion files (including ones created from motion captures. You can get a really natural look to the motion with it. (out of interest cstudio was the tool used to create the 'dancing baby' made famous by Ally Macbeal).

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Toolset: Blender, GIMP, Indigo Render, LuxRender, TopMod, Knotplot, Ivy Gen, Plant Studio.