NASA's chief technologist seeks to develop transformative programs, SJ Mercury News
"Ames has specialized in recent years in building closer ties with technology companies such as Google and Microsoft, and Braun said his office is exploring whether NASA can adapt another aspect of Silicon Valley, perhaps working with venture capitalists to develop some of those high-risk, high-reward technologies. "Venture capitalists, angel investors, they know how to take risks, and there is a lot that we can learn from them, and there is a lot that we can leverage," he said. Braun also said that NASA's future may not be about building bigger, more powerful rockets, but about building tiny satellites with the flexibility to accomplish a wide variety of missions in space -- somewhat like the 10-cubic centimeter "Cubesats" that were originally developed at Stanford and other universities."



One of the futuristic technologies the article cited reads a lot like the British Skylon concept ( http://en.wikipedia.org/wiki/Reaction_Engines_Skylon ), a runway takeoff and landing orbital vehicle. Not exactly a "smaller" type of project, but probably a must-have technology when it becomes feasible.
While they're at it they should try to find some much needed solutions to our CEV quandary, two of which might be:
-A way for a ballistic capsule (Orion) to transform itself into a lifting body or semi-glider after entry,
or
-a large, high performance carrier plane that can somehow make a mid-air intercept of an Orion capsule. This might also be useful for sky borne rescues of disabled planes.