Isn’t the whole point of Bryce to make outdoor environments, terrain, and sets for use in creating scenes in Daz and other programs? Why else would Daz have been giving it away along with Daz 4 and Hexagon basically as a set? BTW, I have Bryce 7 but have yet to even begin to use it. Is there a difference between Bryce 7 and the earlier versions that make it more compatible or am I missing something?
I think you do miss something. What you refer to as DAZ is the company name but you mean Studio 4. When DAZ bought Bryce from Corel, the first and only thing they did was creating a Studio-to-Bryce bridge. Looking like peanuts at first glance (I thought “what? ist that all?” at the time), this proved to be an immense improvement for Bryce. Characters and props from Poser and Studio could be used in Bryce.
Bryce is still Bryce: a great landscaper with which you can create underwater scenes, space scenes, abstracts, still lifes, you name it. There is no limit. Bryce can render directly toon/CEL shading, anaglyphs, lens flares, vignetting and other effects. Bryce 7.1 is the proverbial giant leap, it features IBL options you will hardly find in any other program; it has extensive lighting options like domes, true infinite width parallel lights, all came with 7.1; and anisotropy, and instancing, a two way bridge to Studio, and mesh collapsing, a truly powerful sun, HDRI creation from a Bryce sky, HDRI tone-mapping, specular convolution of HDRIs up to a Phong exponent of 100, saving skies with embedded HDRI, ...
But there are also a couple of things that do not work to the full satisfaction at the moment. The two-way bridge to Studio is a bit unreliable, mainly because Studio got updated meanwhile without Bryce keeping up. Instancing is prone to crash Bryce - though there have been successful atempts to make it work.
Get content from Studio, Hexagon, Google 3D-models, whateverm and use them in Bryce. Bryce has an excellent render engine (actually 2) and can render in True Ambience (TA). You would never want radiosity once you’ve seen what you can accomplish with HDRI optimised TA. But Bryce is weak rendering skin (no sub surface scattering yet, though it can be partly emulated) and for hair, Studio is superior.