Update: SimpleGeo has posted a FAQ that will “answer many of your questions”.

The topic of SimpleGeo is usually a fun conversation starter in geospatial circles. Figuring out their business model was always sort of crap shoot, but boy did they sure put together an all-star team. Arrington broke the news earlier this week that SimpleGeo, who had raised $10 million in VC money, was acquired by Urban Airship for $3.5 million of “stock”. I’m no math genius, but that sounds brutal for the investors of SimpleGeo. Clearly what the money guys valued at SimpleGeo was the staff so we’ll have to see what plans Urban Airship has for the SimpleGeo team.

Hey! What happened?