[4] This area was opened for homesteading by a lottery held in 1901, and the St. Louis and San Francisco Railway promptly built a line in from Texas.

[5] Agriculture was a major employer from the start, and at one time the town had five cotton gins and three grain elevators.

[5] Over the years the town had a full range of services, including movie theaters, newspapers, saloons, livery stables, blacksmiths, cafes, bakeries, and drug stores.

Davidson is located at the junction of U.S. routes 70 and 183 in the southwestern part of Tillman County.

[5] According to the United States Census Bureau, the town has a total area of 0.5 square miles (1.3 km2), all land.