Bezos has, for about a decade now, laid out his intention to have Blue Origin put what he calls the heavy lift infrastructure into place to dramatically broaden the use of space for industry. He relates it to the way Amazon didn't have to invent credit card processing, build fiber optic networks, invent operating systems, invent the microprocessor, create UPS and Fedex, et al. before he could start the company. His goal is to provide core space infrastructure so new businesses can be built on top of that. Long-term he believes it's a practical growth requirement to move industry off of earth, that if we don't do so we're condemning ourselves to stagnation.

https://www.geekwire.com/2016/jeff-bezos-blue-origin-space-i...

Their model is not exclusively space tourism. I imagine this is either PR or fundraising (or a mix of the two).

Mainly PR - at $200k/person, you'll be losing millions on every flight.

Non-orbital flight takes ludicrously less power and rocket than getting to orbit. Flying six people per flight would easily be profitable on a per flight basis, ignoring development costs.

And the development stuff is already a paid cost, and a part of reaching the real goal of AWS, but for space.

Yeah, it probably covers operating costs and maybe even a decent chunk of the rocket. Wouldn't come close to touching the big items, R&D, etc.

Blue Origin is building a new full sized rocket motor that will power SpaceX’s main competitor ULA. Blue Origin has also announced that their next rocket, “New Glenn”, will be an orbital class rocket competing with the Falcon 9.

Did you mean to make an analogy to the "transcontinental railroad"?

Oops, yes.

(Must have been thinking about intercontinental ballistic trains).