Whay she meant to say is that she loaded a picture in .bmp format and digitized the embroidery herself with help of the software she owns. As a rule embroidery software uses .jpg and .bmp files. So a picture taking by your digital camera can be used in the digitizing program.
My 4D Extra can do something similar but haven't gotten into that yet. So I am not really familiar with digitizing. But I think I understand what you are talking about. Thanks
Here is what wikipedia says about a bmp file:
http://en.wikipedia.org/wiki/BMP_...
HTH :)