Abstract Major theories regarding microbe‐mediated plant community dynamics assume that plant species cultivate distinct microbial communities. However, few studies empirically assess the role of species‐associated microbial community dissimilarity in plant competitive dynamics. In this study, we paired a competition experiment between eight annual forbs with characterisation of species‐associated fungal communities to assess whether mycobiome dissimilarity is associated with pairwise competitive dynamics. Using a quantitative approach informed by modern coexistence theory, we found that fungal dissimilarity was correlated with both increased stabilising niche differences and fitness inequalities. Additionally, we found that the probability of coexistence increased with mycobiome dissimilarity. When subsetting the community into different fungal functional groups (pathotrophs, saprotrophs, symbiotrophs), overall relationships between dissimilarity and competitive dynamics were independent of these functional groups. Synthesis. These results suggest that fungal community divergence may play an important role in mediating plant competitive dynamics. Although fungal community dissimilarity is associated with both niche and fitness differences, complex biotic and/or abiotic interactions below‐ground may result in an observed correlation between fungal community dissimilarity and plant coexistence. Ultimately, this study suggests a novel approach to better understanding how microbiome dissimilarity may impact host community dynamics.
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