Did you edit /etc/X11/xdm/Xservers? (irrc that's the file name; I don't use xdm anymore; I use gdm and a gnome desktop.) You have to make sure the right X server is being used by XDM.
- Can't log in with xdm and VMware X server Eric Hanchrow
- Re: Can't log in with xdm and VMware X server Mark Montague
- Karl M. Hegbloom