Not likely Coral warfare. I had this happen to a huge volleyball sized Green Montipora Capricornis, I believe this is caused by either a viral or bacterial infection. The coral seems to dissolve into a brown mucus type substance leaving only bare skeleton behind.
I did not find any way sto stop this, I even fragged off a piece far away from the developing infection and put it into my quarentine tank, it still eveloped this malady and completely died.
I would suggest keeping an eye on this but be ready to remove the Coral should it look like it will not pull through, I am not sure how contagious the disease is but I would not take any chances.
Hope this helps.......
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