Though CNN themselves have taken the official video off air, here's what other media feel about the goofup:
“If you follow the reporter's advice and do indeed look at the flag closely you'll see that it's not Arabic, nor gobbledygook, but, um, butt plugs.” reported i100.
According to NYMAG, "...since nobody at CNN looked closely enough to notice that, they not only ran Pawle's report and photos of the sex-toy flag, but even brought on CNN National Security Analyst Peter Bergen to gravely analyze the development. He then highlighted how it was 'a very strange place to be showing an ISIS flag,' since ISIS hates gays so much"
What’s more towards the end of the segment, they also announced that the discovery of the flag could indicate a possibility of ISIS’s next potential Western target, reported nymag.