Bluetooth keeps searching but can't find anything

Anyone experiencing bluetooth issues with the phone?
I have a 1.1.1 downgraded to a 1.0.2 and unlocked, everyone else seems to be able to find me using other cell phones when I turn bluetooth on. However when my iPhone is trying to search for devices it just sits there searching and searching and more searching...

Any ideas how to fix this?

As far as I know, the iphone's bluetooth is ONLY for connecting a headset, and nothing else.
So the iphone doesn't even see other phones. Only headsets.

Ah okay :) thanks for the info

YUP!!!!!! me here with the 2 iphones same problem

still looking for solution!!