Heya there. Sorry to hear of the problem you're having.
I actually help run a virtualware business myself, so I know a little bit about how chargebacks work regarding virtual items.
From what I understand (and from what I've experienced), PayPal offers protection to neither the buyer or seller when it comes to intangible goods. In such a situation, I can see only one of two measures of recourse, at least as far as PayPal is concerned.
If you made the purchase with a credit card through PayPal, it is possible you can reverse the charges by calling your credit card issuer and claiming that you didn't receive the goods purchased. In most cases PayPal will not fight a credit card company on a seller's behalf in a situation involving intangible goods, since receipt and delivery of such items are difficult to establish (which is awful news for me, but might be great news for you in your case!).
If the purchase wasn't authorized through a credit card, you might still be able to make an unauthorized transaction claim, but if PayPal has half a brain it is unlikely to succeed unless you can conjure up evidence that someone else has taken hold of your account (as such, I wouldn't recommend it). It has at least a chance of working, but would also likely get your account frozen for a period of time, among other undesirable possibilities.
If all else fails, you could take it up with the seller in small claims court and/or other legal action.
