These two flights were ~60mi altitude. The ISS, for reference, is at 250mi. We've launched people there more than a hundred times, never mind having to put it there in the first place. The moon, which we landed and recovered people from in 1969, is 240,000mi away.
This is a hobby project, which is totally fine in that it's their money to spend, and it's kind of neat that we can generate enough wealth that private individuals could even imagine doing this, but let's not dress it up as more than that.
Edit: Musk/SpaceX is definitely in a different category. That actually seems to be shooting for space exploration, which is pretty neat, though I still think there are earthly priorities that we'd see much higher ROI from.