Tykwer adapted the book and will direct the indie movie, for which CAA is in the process of securing financing. "A Hologram For the King" was a finalist for the National Book Award when it was published by McSweeney's last year.
Hanks will play a struggling businessman who heads to Saudi Arabia in a last-ditch attempt to stave off foreclosure and do something memorable with his life.
Hanks and his Playtone partner Gary Goetzman will produce with Stefan Arndt, Uwe Schott and Tykwer of X Filme Creative Pool.
Hanks, who can currently be seen on Broadway in Nora Ephron's play "Funny Guy," will soon be seen in Sony's "Captain Phillips" and Disney's "Saving Mr. Banks," in which he plays Walt Disney. He's represented by CAA.
The news was first reported by Deadline.