in the process of buying a 2007 S2000. Does the '07 have Bluetooth capabilities and if so, how do you connect to an external device

 

Only if someone added something aftermarket.

 

You might try Crutchfields as they match products well to what fits. I installed a pretty nice "amped up" Sony a few years back that connects with my phone for streaming. Even plays CDs when I am off mobile coverage up in the Sierras.

 

I installed an Alpine SXM-145BT unit in my S2000. It has Bluetooth capabilities, though I rarely use it.

 

I exclusively use the Bluetooth in my Pioneer head unit. Only listen to streaming.

 

+1 here, Pioneer head unit + bluetooth built-in. and run a microphone for phone calls.

 

No. I insist on keeping my car as factory original as possible so on my 2007, I used one of these.
It plugs into the CD changer plug which is to the left of the spare tire.
You will then have bluetooth on CD01 track 01.

It is 100% plug and play and 100% reversible. The only thing I do not like is that one has to hit play on one's phone every time the car is started. The radio/device will not automatically play bluetooth.