The Details:
I don't know much about nimbers. It is my understanding that their multiplication is different than ordinary numbers. I'm not sure how to multiply infinite nimbers together; it's given recursively as
$$ab = \text{mex}\{a'b+ab'+a'b'\mid a'<a, b'<b\},$$
where $\text{mex}$ is the minimum excluded element and $+$ is nimber addition. I don't have any experience with $\text{mex}$.
In the section Nimbers and the Game of Nim of Conway & Guy's, "The Book of Numbers", it is stated that
$$\omega^3=2.$$
The Question:
How come $\omega^3=2$ for the infinite nimber $\omega$ with respect to nimber multiplication?
Thoughts:
My guess is that
$$\begin{align} \omega\omega^2&=\text{mex}\{a'\omega^2+\omega b'+a'b'\mid a'<\omega, b'<\omega^2\}\\ &\stackrel{?}{=}\text{mex}\{a'\omega^2+\omega b'+a'b'\mid a', b'\text{ finite}\}\tag{1}\\ &\approx\text{mex}\{ c\mid c<2\}\tag{2}\\ &=2, \end{align}$$
where $(1)$ is because $\omega$ is infinite and $\omega^2$ is also infinite (I presume!).
But $(2)$ baffles me.
Background:
Despite a cursory reading of some of Conway's, "On Numbers and Games" back in 2019 and this question about $\ast$, I know next to nothing about combinatorial game theory. Perhaps I'm trying to run before I can walk . . .
Please help :)
I'm maybe a little out of my experience, so please take things with a bit of grain of salt, but despite any sketchiness I hope this helps a bit.
We should establish that the nimber product $\omega \cdot \omega$ gives the ordinal $\omega^2$, but I'll skip that for the moment.
Then in considering the nimber product $\omega \cdot \omega^2$, your $(1)$ is not correct; in general $b'$ can range over any ordinal less than $\omega^2$ including ordinals of the form $c\omega+d$ with $c$ and $d$ finite.
If we are trying to prove $\omega^3$ is finite, we only care about cases when $a'\omega^2 + \omega b' + a'b'$ is finite. When $a'$ and $b'$ are both finite and non-zero, this term will be infinite. To get something finite, we need to first cancel the $\omega^2$ which means (taking for granted the niceness of nimber algebra) $c=a'$ as $a'\omega^2 + (a'\omega+d)\omega + a'(a'\omega + d) = a'\omega^2 + a'\omega^2 + d\omega + a'^2\omega + a'd = (d+a'^2)\omega + a'd$. Then we must cancel the $\omega$ which means $d=a'^2$, so our term is simply $a'^3$; in other words we can only get finite nimbers that are perfect nimber-cubes. So, our set contains $0$ (from $a'=b'=0$) and $1$ (from $a'=1$, $b'=\omega+1$). It would remain to show that $2$ is not the cube of a finite nimber (though, of course it is apparently the cube of the infinite nimber $\omega$). (I'm not going to show this, sorry).
To get comfortable, it may help to explore some simpler cases of infinite nimber arithmetic.
With finite $n$, the nimber sum $\omega + n$ is the ordinal $\omega + n$. Any finite nimber is in the set $\{a+n|a<\omega\}$. Infinite ordinals $\omega + x$ with $x<n$ simply come from the $\{\omega+b|b<n\}$ (inductively).
With finite $n>0$, the nimber product $n\cdot \omega$ is the ordinal $n\omega$: to get $c\omega+d$ with $c<n$, we take $a'=c$ and $b'=d/(n+c)$.
In the nimber product $\omega \cdot \omega$, we can get $\{a'\omega + \omega b' + a'b'\} = \{(a'+b')\omega + a'b'\}$. To prove the result is infinite, we must have all finite ordinals in this set. We get finite ordinals when $a'=b'$, so this is true only if every finite nimber is the square of a finite nimber (which, apparently, is true). More generally, we would get $c\omega+d$ if $a'+b'=c$ and $a'b'=d$, for which I suppose it is relevant to relate this to writing $x^2+cx+d=(x+a')(x+b')$ (ie if every finite quadratic polynomial can be factored with finite roots then $\omega \cdot \omega = \omega^2$). (Also, not going to show this.)