Virgin Galactic’s Spaceship 2 is going to start single site suborbital tourism flights in 2011 (up into space and back down to the same site.) The question is when does space tourism become suborbital point to point (PTP) transportation? The answer is “How far do you have to go before it becomes transportation?”
Spaceship 2 is designed with a hybrid engine that is basically replaced after each flight. Simply putting an engine with more fuel capacity on it will give it greater range. If the expanded range is West to East Coast or West Coast to Hawaii (2500 miles) then this is real transportation. As the listed atmospheric speed is 3.5 Mach (2500 MPH), there should be no problem achieving 2500 miles. NY to Abu Dhabi (6800 miles) or LA to Hong Kong (7200 miles) will probably require a next generation Spaceship 3 but there has been no information released on the possible range of Spaceship 2. Upping the load until the limits of a vehicle's design are reach is a pretty standard step in development and usually attains unexpected performance (though Burt Rutan probably knows where the limits are already.)
An example of this approach is the development of the Ford AC Cobra vs. the GT40. Carroll Shelby had AC drop a really big engine in a relatively primitive but existing body and got a vehicle that was a winner for relatively short races. To win the 24 hours Lemans (and achieve the much higher speeds needed), Ford started a ground up development project that resulted in the GT40. This is similar to the need for short coast to coast PTP versus the longer intercontinental PTP. (The inspiration for this post is below. How would you like both of these great investments in your garage? Or better yet be the owner’s son: “although the GT handles like its on rails, the AC is much more fun taking (slinging) around a decreasing radius curve. I'm lucky to have those opportunities.” If this is fun think about being on Spaceship 2.) 
Once the first successful coast to coast flight occurs, we can expect some interest in full size passenger space ship development for the major airline companies. The launch vehicle/spaceship design eliminates the noise problems of the Concorde so development should be straightforward. The issue will be the economies of suborbital transportation once the “tourism” bonus is exhausted. The G-forces involved may make the market too small for a company like Boeing to be interested but current business jet manufacturers may try to enter the suborbital market.
Disclosure: None for this Post