Holy high stakes, Batman, is Psion really seeking $1.2 billion from Intel in defending its claim to the netbook trademark? The answer is yes, and in addition to seeking compensation for all of "Intel's profits resulting from infringement, unfair competition, and unfair trade practices," as Psion alleges, the company also wants to collect punitive damages. Psion is also seeking to pluck the domain name www.netbook.com from Intel's hands.

If you haven't been following, Psion's trademark claim is based on a pair of ARM-based "netBook" and "netBook Pro" computers launced in 1999, which it appears to have stopped selling in 2003. Psion renewed the trademark in 2006, and then last December the company started sending out cease-and-desist notices to various OEMs and other firms over use of the term "netbook." Nobody listened, but it didn't matter, because it appears Psion was simply laying the groundwork for the suit we're seeing today.

Two weeks ago Dell filed a petition with the U.S. Patent and Trademark Office asking that it cancel Psion's netbook trademark, for which Intel endorsed. Among the reasons listed is that "Psion has abandoned the 'netbook' mark" and does not currently offer laptops under the Netbook trademark. But Psion says this isn't true and has offered up a table of netBook-based revenue from 1999 through 2009, which as ArsTechnica points out, the numbers "are somewhat suspect." For example, according to Psion's numbers, customers purchased $2 million in accessoris for just $135,000 worth of netBooks.

Predictions on how it will all unfold? Hit the jump and tell us what you think!