The prosecution claim that Terry called Ferdinand a racist obscenity in response to taunts about his alleged affair with a team-mate's ex-girlfriend.
The 31-year-old Chelsea defender allegedly called Ferdinand, who plays for Queens Park Rangers, a "f****** black c***".
Terry is accused of a racially aggravated public order offence during a Premier League match on October 23 last year, which was broadcast to millions of people.
The court heard that Terry told Ferdinand to "f*** off" and also called him a "f****** knobhead" as the pair exchanged insults.