The first reported steps towards the discovery of the shape-memory effect were taken in the 1930s. According to Otsuka and Wayman, Arne Ölander discovered the pseudoelastic behavior of the Au-Cd alloy in 1932. Greninger and Mooradian (1938) observed the formation and disappearance of a martensitic phase by decreasing and increasing the temperature of a Cu-Zn alloy. The basic phenomenon of the memory effect governed by the thermoelastic behavior of the martensite phase was widely reported a decade later by Kurdjumov and Khandros (1949) and also by Chang and Read (1951).
The nickel-titanium alloys were first developed in 1962–1963 by the United States Naval Ordnance Laboratory and commercialized under the trade name Nitinol (an acronym for Nickel Titanium Naval Ordnance Laboratories). Their remarkable properties were discovered by accident. A sample that was bent out of shape many times was presented at a laboratory management meeting. One of the associate technical directors, Dr. David S. Muzzey, decided to see what would happen if the sample was subjected to heat and held his pipe lighter underneath it. To everyone's amazement the sample stretched back to its original shape.
There is another type of SMA, called a ferromagnetic shape-memory alloy (FSMA), that changes shape under strong magnetic fields. These materials are of particular interest as the magnetic response tends to be faster and more efficient than temperature-induced responses.
Metal alloys are not the only thermally-responsive materials; shape-memory polymers have also been developed, and became commercially available in the late 1990s.