Yes, it does have this feature. You load an image into EQ7, and the software will divide it into the shapes you select (squares, trapezoids, hexagons, diamonds) and then change each shape into a fabric of the average color in that area. You can load fabrics that you intend to use into EQ7 and it will use those fabrics for the photo image. I haven't used it yet, but it's on my list of things to try.