Drip irrigation of cotton is increasing throughout the United States particularly in the West. A major benefit of drip is the ability to apply small amounts of water at high frequency intervals. This provides the opportunity to maintain the soil moisture at a specified moisture deficit. This is particularly beneficial in areas of the Mid-South with soils that have shallow rooting potentials. However, significant rainfall and cloudy days received in the Mid-South present challenges for cotton production using drip irrigation that are not experienced in the West. The objective of this study was to evaluate the growth and development of cotton grown under dryland, furrow, and low pressure drip irrigation systems in Arkansas and to compare revenue and expenses associated with each system using partial budget analysis. A thirteen acre field located on the Cotton Branch Experiment Station located near Marianna, Arkansas was utilized for this study. The drip irrigation, furrow irrigation, and dryland plots are arranged in a complete randomized design with four replications. The drip tape was installed to the side of each row. Although this system was small, challenges were encountered similar to those that could be expected in a production situation. Learning curves such as dealing with the calculation of effective rainfall accumulation as well as having a good understanding of dealing with water quality issues are the most noted differences in the low pressure drip system compared to furrow irrigation. Perhaps the greatest challenge in adoption is related to fertility. Costs and availability of product will improve with increasing demand. Economic and profitability issues will be discussed.