History
XDM (the X Window Display Manager) originated in X11R3. This first version, written by Keith Packard of the MIT X Consortium, had several limitations, the most notable of which was that it could not detect when users switched X terminals off and on. In X11R3, XDM only knew about an X terminal from its entry in the Xservers file, but XDM only consulted this file when it started. Thus every time a user switched a terminal off and on, the system administrator had to send a SIGHUP signal to XDM to instruct it to rescan Xservers.
XDMCP arrived with the introduction of X11R4 (December 1989). With XDMCP, the X server must actively request a display manager connection from the host. An X server using XDMCP therefore no longer requires an entry in Xservers.
Read more about this topic: X Display Manager (program Type)
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