Best Product Design Agencies

IDEO vs Bakken & Bæck: full comparison for 2026

Quick verdict

Bakken & Bæck (4.2/5) edges ahead of IDEO (3.6/5) overall. Bakken & Bæck is the better choice for tech companies (AI, decentralized systems), design plus research. IDEO is the stronger option for enterprises that want design capability built inside their own teams. The right choice depends on your project size, budget, and required tech stack.

IDEO vs Bakken & Bæck: head-to-head summary

Criterion IDEO Bakken & Bæck
Founded 1991 2011
HQ San Francisco Bay Area, CA, USA (offices in the US, UK, and China) Oslo, Norway (also Amsterdam, Barcelona, Bonn, and London)
Team size Not published (about a third of staff cut before 2025, per Fortune) 70+
Rating 3.6 / 5 4.2 / 5
Primary differentiator Three decades of human-centered design history, now aimed at building clients' in-house design and innovation capability A five-city European studio that blends design with genuine computer-science research depth, evidenced by recent AI work for Sierra and Coinbase
Pricing model Project-based, enterprise engagements (not published) Fixed project, dedicated team
Min. engagement $300K+ (per industry roundups; independently unverifiable) Not published
Primary tech stack Figma, Miro, Adobe Creative Suite Figma, React, Next.js
Industries served Enterprise transformation, Consumer products, Healthcare SaaS / B2B software, Financial services / fintech, Consumer products

IDEO vs Bakken & Bæck: overview

IDEO

IDEO's last few years have been rough. Fortune reported in May 2026 that the firm had cut about a third of its staff, closed its Munich and Tokyo offices, and watched revenue fall below $100M from roughly $300M four years earlier. Mike Peng, who joined IDEO in 2006 and helped open the Tokyo studio, became CEO in 2025 and is pushing the firm toward teaching client organizations to run design work themselves. The history is still real: IDEO formed in 1991 from four merged studios, designed the original Apple mouse, and has belonged to the kyu collective under Hakuhodo DY Holdings since kyu first invested in 2016. Industry roundups still put typical minimums near $300K (per industry roundups; independently unverifiable).

Bakken & Bæck

Johan Bakken and Tobias Bæck founded Bakken & Bæck in 2011; Bæck still runs it as CEO. Around 70 people work across Oslo, Amsterdam, Barcelona, Bonn, and London, and several hold computer-science PhDs, which shows in the work. Recent projects include conversational AI products with Sierra and decentralized platforms with Coinbase, alongside IKEA and Norwegian payments app Vipps. The studio takes products from early exploration through launch instead of handing over a design phase and leaving.

Services and capabilities: IDEO vs Bakken & Bæck

Capability IDEO Bakken & Bæck
Product design ✓ ✓
UX research ✓ ✓
Branding ✓ ✗
Web development ✗ ✓
Mobile development ✗ ✗
Design systems ✓ ✗

Tech stack comparison: IDEO vs Bakken & Bæck

Framework / platform IDEO Bakken & Bæck
Figma ✓ ✓
Webflow N/A N/A
React N/A ✓
Framer N/A N/A
Adobe Creative Suite ✓ N/A
Design systems/Storybook ✓ N/A
After Effects N/A N/A

Pricing comparison: IDEO vs Bakken & Bæck

Criterion IDEO Bakken & Bæck
Minimum engagement $300K+ (per industry roundups; independently unverifiable) Not published
Engagement models Fixed project, Retainer, Dedicated team Fixed project, Dedicated team
Rate transparency Minimum disclosed Minimum disclosed
Price tier Accessible Mid-market

Target audience comparison: IDEO vs Bakken & Bæck

Dimension IDEO Bakken & Bæck
Best company size Startup to mid-market Startup to mid-market
Best industries Enterprise transformation, Consumer products, Healthcare SaaS / B2B software, Financial services / fintech, Consumer products
Best use cases Enterprise-wide digital transformation strategy paired with design execution, Large-scale patient experience redesign for a hospital system AI or conversational-product design for a fast-moving startup, Decentralized or crypto platform design and build
Typical project type Fixed project Fixed project

IDEO vs Bakken & Bæck: pros and cons

IDEO
+ Still the reference point for human-centered design methods, with case studies going back to the original Apple mouse
+ CEO Mike Peng has a stated plan to train client teams so they keep designing after IDEO leaves
+ Publishes original research, including a 2026 Innovation Quotient survey of more than 250 product and innovation executives
+ Membership in Hakuhodo DY Holdings' kyu collective opens the door to sister firms when a project needs them
- Fortune's May 2026 reporting describes a one-third staff cut and closed Munich and Tokyo offices, so ask exactly who would staff your project
- A reported $300K+ typical minimum (per industry roundups; independently unverifiable) keeps it out of reach for startups
- Part of the kyu collective owned by Hakuhodo DY Holdings since 2016, so it isn't a fully independent firm
Bakken & Bæck
+ Design and computer-science research in one team, unusual for a boutique
+ Recent AI and crypto work for Sierra and Coinbase
+ Offices in five European cities
+ Consumer clients like IKEA and Vipps alongside deep-tech work
- No published pricing or minimum engagement
- Europe-only offices give US clients limited working-hour overlap
- Its AI- and crypto-heavy recent portfolio is a narrower fit for traditional industries

Who should choose IDEO?

A typical fit: enterprise-wide digital transformation strategy paired with design execution.

Three decades of human-centered design history, now aimed at building clients' in-house design and innovation capability. Minimum engagement starts at $300K+ (per industry roundups; independently unverifiable). Works best with clients in Enterprise transformation, Consumer products, Healthcare.

Who should choose Bakken & Bæck?

A typical fit: AI or conversational-product design for a fast-moving startup.

A five-city European studio that blends design with genuine computer-science research depth, evidenced by recent AI work for Sierra and Coinbase. Minimum engagement starts at Not published. Works best with clients in SaaS / B2B software, Financial services / fintech, Consumer products.

Decision matrix: IDEO vs Bakken & Bæck

Your situation Recommended choice
You need full-ownership delivery on a defined project scope IDEO
You need a large dedicated team for an ongoing programme IDEO
Your budget is at the lower end Compare: IDEO ($300K+ (per industry roundups; independently unverifiable)) vs Bakken & Bæck (Not published)
You need specialist depth in a specific vertical IDEO
You need staff augmentation or team extension Neither; consider alternatives that offer staff aug
You need consulting before committing to a build Both may offer discovery engagements

Use case fit: IDEO vs Bakken & Bæck

Use case IDEO fit Bakken & Bæck fit Winner
Enterprise-wide digital transformation strategy paired with design execution Strong Limited IDEO
Large-scale patient experience redesign for a hospital system Strong Limited IDEO
AI or conversational-product design for a fast-moving startup Strong Strong Both equally
Decentralized or crypto platform design and build Limited Strong Bakken & Bæck
Fixed-price product build Limited Limited Both equally
Dedicated design team augmentation Limited Limited Both equally

Verdict: IDEO vs Bakken & Bæck

Bakken & Bæck (4.2/5) is the stronger overall choice for most Product Design projects. A five-city European studio that blends design with genuine computer-science research depth, evidenced by recent AI work for Sierra and Coinbase.

IDEO (3.6/5) is worth a look if you need large-scale patient experience redesign for a hospital system. If your situation matches that, IDEO is a competitive option.

Related comparisons

IDEO vs Bakken & Bæck FAQ

Is IDEO better than Bakken & Bæck?

Bakken & Bæck (4.2/5) scores higher overall, but "better" depends on your use case. IDEO's strongest advantage: still the reference point for human-centered design methods, with case studies going back to the original Apple mouse. Bakken & Bæck's strongest advantage: design and computer-science research in one team, unusual for a boutique.

How do IDEO and Bakken & Bæck differ in pricing?

IDEO uses project-based, enterprise engagements (not published) pricing with a minimum engagement of $300K+ (per industry roundups; independently unverifiable). Bakken & Bæck uses fixed project, dedicated team pricing with a minimum engagement of Not published. Neither firm publishes a full rate card; a discovery call is required for project-specific quotes.

Which is better for enterprise: IDEO or Bakken & Bæck?

IDEO is the larger team and typically the better enterprise-scale choice. For very large programmes, verify team size and compliance coverage directly with each agency before shortlisting.

What are the main differences between IDEO and Bakken & Bæck?

IDEO's primary differentiator is: three decades of human-centered design history, now aimed at building clients' in-house design and innovation capability. Bakken & Bæck's primary differentiator is: a five-city European studio that blends design with genuine computer-science research depth, evidenced by recent AI work for Sierra and Coinbase. They also differ in team size (Not published (about a third of staff cut before 2025, per Fortune) vs 70+), minimum engagement ($300K+ (per industry roundups; independently unverifiable) vs Not published), and primary industries served (Enterprise transformation, Consumer products vs SaaS / B2B software, Financial services / fintech).

Verify all details directly with each agency before making a decision.