I guess we'll see how far private companies will go.
For now SpaceX has has done well. They've secured a $ 1.6 billion contract with NASA for 12 further cargo missions to the ISS. The plan is to eventually carry astronauts inside the Dragon capsule. If I remember correctly the first Falcon Heavy launch is scheduled for 2013. This is a rocket that will be powerful enough to reach Mars. From an economic/business point of view, all of it will save NASA a ton of money, but it doesn't stop there. The aim is to further reduce the cost of getting material into Space by something like a factor of ten. The key to it being reusability.
Exciting times if you ask me. To be honest I don't care who does what as long as things get done. NASA is still top dog obviously, and I can't wait to see some of the first pictures the James Webb Telescope will take. Not to mention Orion and countless other projects. Should be amazing.
Falcon Heavy promo video for anyone interested in seeing it here: