This problem was encountered by me while research for chapter 7 of my book. Apparently other developers have encountered it as well as you can see from several questions on Stack Overflow:
- iOS 7 Ranging beacons: Sometimes ranging is Unavailable, and the only solution is reboot the device
- locationManager:rangingBeaconsDidFailForRegion:withError: kCLErrorDomain 16
- iBeacon: didRangeBeacons stops getting called, must reset device for it to work again
So I am filing this as a dupe hoping for it to be fixed in iOS 8. Or if not, that it will become more visible to Apple.
Filed as rdar://17003408 and on Open Radar.