Engineering Animation, Inc. announced Wednesday it will cut two of its business units, displacing an estimated 50 full-time and 30 part-time Ames employees over the next nine months in an attempt to redirect the focus of the company.

Barry French, EAI director of corporate communications, said the release of employees is a result of the company’s exit from the interactive games and science technology businesses.

“We are making the changes because the interactive games and publications markets have changed in ways that are just not as attractive to us as a business anymore,” French said.

French said exiting these areas “allows [EAI] to focus on the areas of our business that are very high potential, growing rapidly and are a higher margin.”

He said the exited areas account for less than 20 percent of the company’s overall revenues, and the market had become intensely competitive, vertically integrated and reshaped by the Internet.

French said employee displacements will be made to 100 full-time and 30 part-time positions nationally in games and publishing areas focused in Ames, Salt Lake City, Utah and New York offices.

He said the number of employees released will vary as some are moved to different areas of EAI, a global firm based in Ames at 2321 North Loop Drive.

Melanie Howland, EAI scientific illustrator, said the majority of people in the affected areas are being laid off, including her.

However, she said the company is being supportive in this “completely un-looked-for turn of events.”

“They’re being very good — they’ve got services and support groups,” Howland said.

French said some displaced employees may be transferred to other areas within the company and others will be offered severance packages and support services to transfer to new businesses.

Howland said business and financial reasons made EAI decide to cut the positions and the market for these types of businesses is unpredictable.

“[The market] is volatile in general; there’s no real way to project how it’s going to turn out,” she said.

Until this week, EAI had three business units: games, science and technology and litigation services.

According to a press release, litigation services will continue as a separate business.

French said officials have been evaluating the market for quite a while.

“Recently it’s become clear that the market was simply no longer attractive,” he said.

The 9-year-old company will cut the areas after they have finished current projects.

French said it is “very possible that [Ames EAI] will show growth” as a result of the reorganization.

French said having fewer creative animators on staff could change EAI’s relationship with Iowa State a bit since the company hires many ISU graduates to fill those positions.

However, he said the company, which employs about 1,000 people globally and 300 in Ames, will continue to hire software engineers and programmers.

“We’ve had a long and very good relationship with the university and don’t expect that to change,” French said.

“Certainly, as we make some reductions, we are continuing to hire in our Internet and enterprise solution areas.”