In this case I have Android device A and Android device B. In my project I want to make my apps so that they can change the type of GPS Android A to GPS Android B over Bluetooth.
So when I disable the GPS or Internet, or both of them in Android A, Bluetooth A will connect to another device (Android B) and use Android device B's GPS over Bluetooth in Android device A.
Is this possible to do? If yes, how?
This is a very general question! so I have to give you a general answer...
It is possible, you have to develop a client/server application which can communicate and send data over BlueTooth.
The server application(Device B) must be able to get GPS data and share it over BlueTooth and client application(Device A) must be able to connect over BlueTooth and received GPS data from device B and use it on device A.
The point is it would never be like the hardware data that is being used with all applications on your device and you can use this data on your client application.