symmetric monoidal (∞,1)-category of spectra
A localization of a module is the result of application of an additive localization functor on a category of modules over some ring $R$.
When $R$ is a commutative ring of functions, and under the interpretation of modules as generalized vector bundles the localization of a module corresponds to the restriction of the bundle to a subspace of its base space.
For $R$ a (possibly noncommutative) unital ring, let $\mathcal{A} = R$Mod be the category $R$-modules. Here $R$ may be the structure sheaf of some ringed topos and accordingly the modules may be sheaves of modules.
Consider a reflective localization functor
with right adjoint $Q_*$. The application of this functor to a module $M\in \mathcal{A}$ is some object $Q^*(M)$ in the localized category $\Sigma^{-1}\mathcal{A}$, which is up to isomorphism determined by its image $Q_* Q^*(M)$.
The localization map is the component of the unit of the adjunction (usually denoted by $i$, $j$ or $\iota$ in this setup) $\iota_M : M\to Q_* Q^*(M)$.
Depending on an author or a context, we say that a (reflective) localization functor of category of modules is flat if either $Q^*$ is also left exact functor, or more strongly that the composed endofunctor $Q_* Q^*$ is exact. For example, Gabriel localization is flat in the first, weak sense, and left or right Ore localization is flat in the second, stronger, sense.
By the Eilenberg-Watts theorem, if $\mathcal{A}= R$Mod then the localization of a module
is given by forming the tensor product of modules with the localizatin of the ring $R$, regarded as a module over itself.
If the localization is a left Ore localization or commutative localization at a set $S\subset R$ then $Q^*(R) = S^{-1} R$ is the localization of the ring itself and hence in this case the localization of the module
is given by extension of scalars along the localization map $R \to S^{-1}R$ of the ring itself.
In these cases there are also direct constructions of $Q^*(M)$ (not using to $Q^*(R)$) which give an isomorphic result, also denoted by $S^{-1}M$.
localization of a ring, Ore localization, Gabriel localization, Cohn localization
localization of a space (and of a spectrum)
localization of a category (= localization functor)
Standard discussion over commutative rings is for instance in
Discussion in the general case of noncommutative geometry is in