The BIOS runs outside of the OS and helps all the parts of your computer speak to each other.
This is why the process is a bit more involved than just running an update from your OS's update manager.
The "binary blob" that's referred to when talking about GPU's is the huge piece of software that you have to download and install in order to make you graphics card able to use all of its features. Some graphics cards won't even use a display's full resolution without the correct driver.
This is different to the CPU in that there is no big downloaded driver sitting between you and it.
If you really want to understand where everything sits, you should check out a book or search for information on Computer Architecture.