Freeman issued a statement on Friday admitting she had lost the desire for individual success but saying was not planning to hang up her spikes just yet.
The 30-year-old said she will not compete in the individual 400 metres, the event she won at the world championships in 1997 and 1999.
"I still plan to compete in the 4x400 relay at the world championships and will be continuing training with this event in mind," Freeman said in the statement.
"My childhood dream was to win an individual Olympic gold medal and be the best in the world, and since achieving both I have not had the same desire for individual success that I once had.
"Speculation that I have retired is unfounded and any decision to do so will be solely my decision in my time and at my discretion."
Freeman has been frustrated at her failure to rediscover her best form since returning to the track 15 months ago and her manager admitted this week she was contemplating an early retirement.
Freeman took a year off after winning individual 400m gold at the Sydney Olympics and won a relay gold at last year's Commonwealth Games in Manchester but still has not posted an individual qualifying time for the world championships in Paris in August.
She said she still hopes to defend her title at next year's Athens Olympics but wants to concentrate on the relay for now.
"I love running, it's all that I have known, and I hope the hunger for individual success returns in the coming months," she said.
"However, in the meantime I want to focus on helping the team have success in the 4x400 relay event."
