The disclosure is directed to feature based software virtualization. In one example, a first virtual sub-layer associated with a first feature set of a software package is virtually installed to a computing device. The first feature set includes a first subset of features associated with the software package. The first virtual sub-layer is enabled to activate the first feature set. A second virtual sub-layer associated with a second feature set of the software package is virtually installed to the computing device. The second feature set includes a second subset of the features associated with the software package. The second virtual sub-layer is enabled to activate the second feature set. In certain embodiments, a first fee is charged for the first feature set and a second fee is charged for the second feature set.