Yes, I have but the name of it and the description "A derivative of the built-in DotNetNuke DNNMenu navigation provider, allowing for templated custom menu panels" sound very much like it is only intended for menu/navgiation stuff, not normal usage of ASP.NET localization.

What I am trying to do is to use the localization of Telerik components, which uses standard ASP.NET localization, which makes it perhaps a bit ironic that I dont know how to make it work, since Telerik is now a partner to DNN Corp and is even included in the distribution. Based on that, it seems very strange if no one had created a real solution for this already?? Feels like I must be missing something obvious :)

 OK, I've looked into that also but have gotten the impression (perhaps faulty) that it wasn't 100% compatible with lastest version of DNN, bur perhaps I am wrong here?

 I can answer that, I use DSLocalizator. The beta version, released to address issues with DNN 5, had problems with the code behind the LocaleSelector skin object (a replacement for DNN's language selector object) was defect. Luckily the core language selector skin object did work with the rest of the DSLocalizator solution. Lately, a new, stable version 3.0.5 was released that does all you need for module-based localization and much more and that has a repaired DSLocaleSelector skin object.

Module localization is achieved by making a separate module for each language and then hiding that module in the languages it is not intended for. You can also localize portal settings and tab settings. I use it in combination with the Magic Content module as a replacement for the HTML module. The Magic Content module allows you to store the HTML code for each language in one module. But to modify other properties such as the container for the module must still be done using DSLocalizator.