Technology

Datacenter heat is actually a very good source for local heating networks and a lot of European countries either already mandate to consider it when feasible, have introduced legislation that will make it mandatory over the next years or are at least supporting it financially.

It's actually fairly common to do so for a long time here - from waste incineration, steel mils, nuclear plants, etc.

Personally I heat my office from my server rack and my old job did heat one of their office buildings from the heat generated by the data center in the basement. (And funny enough also did partially cool it from that source)

recycling the heat from AI data centers

I'd say the govts should make it mandatory for anyone making a large enough data centre, to create a heat transfer infrastructure to nearby localities. The locals can then buy hot water (metered) via pipelines from the local govt and that can go towards paying for the power extension tax that the data centre has to pay.
Oh yes, there needs to be a power extension tax first, which is levied on anyone setting up data centres to use for wasteful stuff like AI, Crypto-mining etc. Of course, that only matters if they are taking power from the grid and/or building near populated areas (any amount of population).