Active nematics are intrinsically phase separated.

Two-dimensional nonequilibrium nematic steady states, as found in agitated granular-rod monolayers or films of orientable amoeboid cells, were predicted [Europhys. Lett. 62, 196 (2003)10.1209/epl/i2003-00346-7] to have giant number fluctuations, with the standard deviation proportional to the mean. We show numerically that the steady state of such systems is macroscopically phase separated, yet dominated by fluctuations, as in the Das-Barma model [Phys. Rev. Lett. 85, 1602 (2000)10.1103/PhysRevLett.85.1602]. We suggest experimental tests of our findings in granular and living-cell systems.