One common hypothesis is that when the growth of symbionts is no longer limited by certain nutrients, such as nitrogen, much of their photosynthate will be used for proliferation rather than being translocated to the host. This scenario is somewhat analogous to carbon dosing in a tank with depleted nutrients, where heterotrophic bacteria are unable to proliferate due to the lack of materials needed to build biomass. As a result, the added organic carbon is primarily metabolized through respiration rather than being assimilated into new cells.
Intracellular competition for inorganic carbon is also frequently brought up to explain why some studies have found lower calcification under high symbiont densities.
However, I generally prefer to consider photosynthetic activity, the amount of photosynthate translocated, and symbiont density as independent parameters, since they do not necessarily correlate with one another in all cases.
New insights into carbon acquisition and exchanges within the coral–dinoflagellate symbiosis under NH4+ and NO3− supply
For example, this study found that the enrichment of both nitrate and ammonium can increase symbiont density, but ammonium enrichment actually increased the amount of photosynthates transferred to the host, while nitrate enrichment didn't have a significant impact.