Sponge in my tank

I started to get sponge growth on the base of an acropora. I had to break down the tank to move. Since that time the sponge (which looked like thin rice noodles) morphed into blue sponge you see at your LFS. It is starting to grow everywhere. Can this possibly choke out coral? It is now overtaking the original acropora piece. I noticed it began losing color when the sponge took it over and I will begin fragging what is left of the piece. Can anyone let me know if this is a problem?
 
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