The compression after high-velocity impact (CAI) behavior of pseudo-elastic shape memory alloy (PE-SMA) embedded glass/epoxy composite laminates manufactured via vacuum-assisted resin infusion (VARI) technique was investigated experimentally. High-velocity impact tests were performed on the glass/epoxy composites using an in-house build gas-gun set-up at four different velocities (70, 85, 95, and 105 m/s). To elucidate, the series of damage events undergone on the composites under the high-velocity impact, a high-speed camera was used. Quasi-static compression-after-impact (CAI) tests were performed to evaluate the damage tolerance of different composites subjected to high-velocity impact. Real-time damage progression during the CAI as well as the extent of damage was characterized by using a 2D Digital Image Correlation (DIC) technique. Three different types of embedment configurations of PE-SMA wire, namely, with length variation (35, 70, and 150 mm) and also with and without anchors, were used. The impact test results show that the ballistic limit of anchored PE-SMA composites with an embedment length of 35 mm is 72.72% higher than that of the homogeneous glass/epoxy composites. CAI results indicate that the PE-SMA based composites have better damage tolerance with respect to the homogeneous ones at 70 m/s. In contrast, at higher velocities, the delamination area decreases in the homogenous glass/epoxy composites due to more localized damage and present a higher compressive strength. © 2020 Elsevier Ltd