FRS only allows:
§ 95.571 FRS emission types.
Each FRS transmitter type must be designed such that it can transmit only the following emission types: F3E, G3E, F2D, and G2D.
Since FRS and GMRS share the same channels, this would come into play also:
§ 95.1771 GMRS emission types.
Each GMRS transmitter type must be designed to satisfy the emission capability rules in this section. Operation of GMRS stations must also be in compliance with these rules.
(a) Each GMRS transmitter type must have the capability to transmit F3E or G3E emissions.
(b) Only emission types A1D, F1D, G1D, H1D, J1D, R1D, A3E, F3E, G3E, H3E, J3E, R3E, F2D, and G2D are authorized for use in the GMRS. Equipment for which certification is sought under this subpart may have capabilities to transmit other emission types intended for use in other services, provided that these emission types can be deactivated when the equipment is used in the GMRS.
Breakdown:
F3E = Frequency Modulated Voice (Analog FM)
G3E = Phase Modulated Voice
F2D = Frequency Modulated Data (this is the short data bursts used by some FRS/GMRS radios to send GPS data.) Data, not voice
G2D = Phase Modulated Data, like above.
GMRS gets some additional:
A1D = Dual Sideband single channel DATA not voice
F1D = Frequency Modulated single channel Data
G1D = Phase Modulated single channel Data
H1D = SSB single channel data
J1D = SSB suppressed carrier single channel data
R1D = SSB variable carrier single channel data
A3E = Dual Sideband single channel analog voice
H3E = SSB Full carrier analog voice
J3E = SSB suppressed carrier analog voice
R3E = SSB variable carrier analog voice
Note that "data" does not equal digital voice.
As mentioned above, there are a LOT of people that ignore the rules and do whatever they feel like. Running NXDN on FRS or GMRS is -not- legal. Neither is DMR, P25, D-Star, Fusion, etc….
A number of unscrupulous radio shops use GMRS as a dumping ground for radio users. They take the money to set them up with a radio system, and just dump them on GMRS thinking they'll never get noticed.
There are a fair amount of GMRS users that either don't understand the rules, believe everything they read on the internet, or just don't care.
Back a few years ago, there was ONE group that had a legal FCC experimental license so they could test DMR on GMRS. That was limited to a specific group in a specific, well defined area operating under an Experimental License, not a GMRS license, on GMRS frequencies. FCC did not renew that experimental license.