Davis entered training camp slated as a starting outside linebacker after Will Witherspoon departed for the St. Louis Rams. He also changed his jersey number to No. 58 after wearing No. 47 during his rookie season. Head coach John Fox named Davis a starting outside linebacker to begin the regular season. Davis started alongside Na'il Diggs and starting middle linebacker Chris Draft. In Week 5, he collected a season-high 11 combined tackles (nine solo) during a 20–12 win against the Cleveland Browns. Davis was inactive for the Panthers’ Week 7 loss at the Cincinnati Bengals. On November 19, 2006, Davis made ten combined tackles (nine solo) and recorded a season-high 1.5 sacks on Rams’ quarterback Marc Bulger during a 15–0 victory against the St. Louis Rams in Week 11. Davis was inactive for the Panthers’ Week 17 win at the New Orleans Saints. He finished the 2006 NFL season with 88 combined tackles (69 solo), six pass deflections, and 1.5 sacks on 14 games and 14 starts.