if your talking about king of fighters think snk vs capcom 2 was the latest version (not sure if its on pc).you could get emulated version with mame or (ps2 emulator and use ps2 version).mugen is a free 2d fighter platform that allows you to download or create characters and customise every aspect of it (including king of fighters characters).
He might be talking about the new KOF XIII that is the only one with a character edit screen. There is all sorts of emulators for the previous version. I've got some information on some of this stuff at my website(signature below).
