IPhone 4 self muting during calls

My phone only works 10% of the time.  During calls my phone seams to self mute.  I can hear the other person but they can't hear me.  If I squeeze the bottom of the phone it starts to work, but I'm told the voice is all static on the other end.  Searches on the net say it's an IC audio chip problem, any suggestions?  Is it worth sending the phone back to apple to fix?
Cb.

Hello Conanbaker,
Thanks for the question. Based on the information you have provided, your iPhone may need to be serviced. The following link should help you get started with the process. Included, you will find information on topics such as warranty & service pricing.
iPhone Repair and Service - Apple Support
http://www.apple.com/support/iphone/repair/
Thanks,
Matt M.

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