"Apple has determined that, in rare cases, the battery in the Beats Pill XL may overheat and pose a fire safety risk," Apple said in a statement.
It advised its customers to stop using the product as it poses a safety hazard.
"Customers who purchased a Beats Pill XL speaker should visit www.Apple.Com/in/support/beats-pillxl-recall for details about how to return their product to Apple, and how to receive an electronic payment of Rs 20,600," it said.
The Beats Pill XL can be identified by the Beats "b" logo on the speaker grille and the words "beats pill XL" on the handle.
The Beats Pill XL was introduced by Beats by Dre in November 2013. The cult brand acquired Beats in 2014.
Apple's line of products include Macs, iPhones, iPads and iPods as well as online services like iTunes and App Store.