Heather and Adam Schreck revealed to Fox 19 that they woke in the middle of the night, thinking they heard a voice.
"I heard a voice screaming at my daughter"
Heather then checked on their 10-month-old, Emma, by looking at her cellphone, which streams the camera feed from the monitor that sits above the baby's crib.
It was moving erratically, when it is only meant to move if following the child or someone else walking about the room - and then she heard a stranger's voice.
She explained: "About the time I saw it moving, I also heard a voice again start screaming at my daughter."
"He was screaming, 'Wake up baby. Wake up baby'. Then just screaming at her trying to wake her up."
Adam ran into the little girl's room and watched in horror as the camera slowly turned from his terrified little girl and pointed directly at him.
The hacker then started yelling "bad things and obscenities" at the father.
"He was screaming at me ... so I unplugged the camera.
They then realised the Foscam IP Camera in the room had been "hacked in" from outside.
Watch the full Fox 19 news report at Cincinnati News, FOX19-WXIX TV to find out more.