In this article we present a two-stage Ku-band low-noise amplifier (LNA) using discrete pHEMT transistors on non-PTFE substrates for low-cost direct broadcast satellite (DBS) phased-array systems (patent pending). The vertical input configuration of the LNA lends itself to direct integration with input port of antenna modules of the phased array, which minimizes preamplification losses. DC decoupling between LNA stages is realized using interdigital microstrip capacitors such that the implementation reduces the number of discrete microwave components and thereby not only reduces the component and assembly costs but also decreases the standard deviation of such crucial parameters of phased-array systems as the end-to-end phase shift of the amplifier and the amplifier gain. Using the proposed printed decoupling capacitors, a cost reduction better than 30% of the original costs has been achieved. Additionally, we present a hybrid design procedure for the complete LNA, including its input and output connectors as well as packaging effects. This method is not based on parameter extraction, but encompasses electromagnetic (EM) field simulator results which are further combined using a high-level circuit simulator. According to the presented measurement results, the implemented Ku-band LNA has a noise figure better than 0.9 dB and a gain higher than 20 dB with a gain flatness of 0.3 dB over a 5% bandwidth. V V C 2006 Wiley Periodicals, Inc. Int J RF and Microwave CAE 16: 573-583, 2006.