By midafternoon the clip of the conversation had made its way around the blogosphere, with Washington gossip site Wonkette.com weighing in and YouTube capitalizing yet again, with more than 36,000 visitors checking out the flub online.
The network said in a statement: "CNN experienced audio difficulties during the president's speech today in New Orleans. We apologize to our viewers and the president for the disruption."
Technical goofs plague every network, but it was the second major oops in the past year for Time Warner's CNN. In November, "XXX" repeatedly appeared over Vice President Dick Cheney's face as he gave a speech to the American Enterprise Institute.
The only good news for Ms. Phillips and CNN was that the clip didn't indicate any political prejudices, just a bias toward her hubby.
Our heart goes out to the anchor, who must be cringing with embarrassment and will no doubt have to do some serious damage control with the sister-in-law. But we're starting to see why the White House prefers Fox News.