What it is is a great freshman film that contains some powerful imagery and subtle details that some fully established directors still don't grasp.  Made on a minimal budget, much of the strength of the film lies in it's minimalism.  It's a science fiction fantasy film which lacks the overblown special effects.  It's got elements of horror without the overdone gore, and overblown scares.  Instead, the emotion is carried through the actors, namely Jake Gyllenhaal, who owns the role so thoroughly it was as if he was born for this role.  He encompasses what is Donnie and portrays both the weak high school kid who's a bit shy and uncertain while believably able to convert with Donnie possessed with "Frank" into a powerful cocksure man, and back again from scene to scene, and even within scenes.  While not a very visually strong film in any way, the look of the film fit the piece well.  What jumped out at me most in both viewings was the use of the score and music.  Both the score and the songs were perfect matches where and when used to complement and even takeover the film. By the time "Mad World" rolls into the climax I was swept away by the words and pacing of the song with the visuals and pacing of the film. 

There is so much going on that much like Mulholland Dr. it causes you to stop, think, consider, rethink, rewatch.  But unlike Mulholland, Donnie fails to engage you completely into caring 100% about these characters, and that hurts.  While Mulholland had you wrapped up in the characters' journey, Donnie leaves you on the outside trying to figure out what and why exactly things are happening and why Donnie is doing what he is.  What does the rabbit mean?  What is this business with time travel?  Where is the time machine? etc.  With so many questions early and not much characterization, instead of becoming a part of Donnie's journey, you're on the outside watching it and trying to answer your own questions.  I just felt that there was no engagement in Donnie because he was too quirky and too "evil" too early on.  In fact, I found myself more connected to Gretchen who is much less significant in the whole of the film, because her confusion but intrigue with Donnie mirrored my own.  Maybe that's what Kelly was going for all along, I'm not sure.  Maybe with further viewings, more will become clear, or perhaps it will be muddier.  Either way, I will view this more to grasp how I truly feel about it, which means it's a good engaging film, and not a confusing film you watch once and throw out as a jumbled mess.  A very fine line, indeed.  I look forward to more Kelly films.  8/10 for now.