Hi, yes we do need to and plan to add an Arnoldi code similar to Davidson. We actually had one in an older version of ITensor, and just need to put it back in.
So it is on our to-do list, and Matt Fishman has this as a high priority (he was the one who recently also added the gmres algorithm for iteratively solving linear equations).
I don't think we will use ARPACK, since it would become a dependency for ITensor and I've heard there are some issues with ARPACK and that it is not maintained much anymore.
Best regards,
Miles