Are iphones able to connect to non-apple bluetooth devices?

My iphone won't connect to anything at all, not even my ipod. Why could this be?
Just says searching and now discoverable but neither apple device will connect to the other. My iphone 4 is on ios7 and my ipod is ios 6

You are saying it it is not connecting. Believe me, it will never connect. Bluetooth present in them is only for gaming with other devices and for connecting with audio devices to play music.