The transfer is subject to a medical and the agreement of personal terms but Tottenham head coach Martin Jol said he was delighted to snap up the 32-year-old midfielder.
Jol said: "He is one of the most versatile midfielders, a playmaker, a ball-winner with great stamina and huge charisma and one of the best midfielders to come out of Holland in the last 10 years. This is a player who went to Barcelona when they were middle of the league and took them close to winning the title.
"It's terrific that he is joining us. This is the player we have spoken about who will lift the team's mentality. We have a young squad with an average age of 23 and I believe Edgar will come in and lead by example."
Davids has won 73 caps, representing the Netherlands in four major finals, and has played in four Champions' League finals, tasting victory with Ajax in 1995. He was a product of Ajax's famous youth system, making his debut for the Amsterdam side when he was just 18 and winning successive league titles in 1994, 1995 and 1996, as well as the Uefa Cup in 1992.
A move to Serie A and Milan followed in 1996 before a switch to Juventus in December 1997. He spent seven years in Turin, during which he helped them to the final of the Champions' League on three occasions - 1997, 1998 and 2003. He also won three domestic titles with Juventus in 1998, 2002 and 2003.
He moved on loan to Barcelona in the 2003-04 season and was credited with helping turn around the fortunes of the Nou Camp club as they finished second that season behind Valencia. He then returned to Italy, joining Inter for the 2004-05 campaign.
Davids, who wears glasses on the pitch as protection for glaucoma, will undergo a medical before he agrees personal terms.
In 2001, he was handed a five-month suspension after testing positive for the steroid nandrolone. He was booed by the crowd at White Hart Lane when he was used as a substitute in the Netherlands' 2-0 friendly win against England later that year.
Davids will have to fight for his midfield place. Spurs now have eight players who could perform in the centre of midfield. As well as the England international Michael Carrick, Davids will compete with Sean Davis, Pedro Mendes, Michael Brown, Aaron Lennon, Teemu Tainio and Tom Huddlestone.Reuse content