I was able to upgrade to the 2.26.20 SBF. The update fixed my audio problem, but I lost my ability to use a T-mobile GSM card (like the stock phone). For some reason, my clockworkmod bootstrap recovery, while it seemed to work and reset the firmware to 2.26.3, did not recover the functionality.
So i fixed my audio but lost my GSM capability.
Not exactly what I wanted. Anyone have any idea why the recovery did not completely recover? I also tried doing a data wipe from the bootstrap recovery, and then restoring, but still the same. GSM/T-mobile disabled on the software level.