This paper reports on synthesis of hollow spheres of magnetite, guided by micelles and their application in drug release by the stimulus responsive technique. Here oleyelamine micelles are used as the core substance for the formation of magnetite nano hollow spheres (NHS). Diameter and shell thickness of NHS have been changed by changing concentration of the micelles. Mechanism of NHS formation has been established by investigating the aliquot collected at different time during the synthesis of NHS. It has been observed that oleyelamine as micelles play an important role to generate hollow-sphere particles of different diameter and thickness just by varying its amount. Structural analysis was done by XRD measurement and morphological measurements, SEM and TEM were performed to confirm the shape and size of the NHS. FTIR measurement support the formation of magnetite phase too. Frequency dependent AC magnetic measurements and AC magnetic field stimulated drug release event by these particles provide a direction of the promising application of these NHS for better cancer treatment in near future. Being hollow &porous in structure and magnetic in nature, such materials will also be useful in other applications such as in removal of toxic materials, magnetic separation etc.