I didn't get to watch all of it but I did see some portion. My interpretation was a bit different. I got the impression they knew about those programs (and you'd have to live under a rock not to). However, they had the attitude "PROVE IT". I think this is a very legitmate and prudent approach. Are these businesses viable without being heavily propped up by federal funding? Do they have a viable business model. I have no doubt that the industry would say, "We can do it, send billions". Should we believe them and what's their history to substantiate that belief? I've got almost no doubt that NASA will succeed with ARES and that stems largely from the Augustine report. Do you take the bird in hand or do you gamble billions on private industry to develop a capability that only three countries in the world have achieved?
Some interesting insight and quotes at
http://www.spacepolitics.com. In my opinion, we had a clear, technically viable if unfunded path that was going to yield a LEO and HLV capability. Now we have chaos with the design choice and path forward likely falling to congress looking compromise with the administration whose actions say they would like to exit manned space flight as a nation. Now that's scary.