VENICE -- Japan dominated the digital cinema competition at this year's Venice Film Festival, taking home the top two awards in the sidebar sponsored by the Bologna-based Future Film Festival and focusing on films made with digital technologies.

Aerial war drama "Sukai Kurora" (Sky Crawlers) from Mamoru Oshii won the top prize, while Hayao Miyazaki's adventure story "Gake no ue no Ponyo" (Ponyo on the Cliff by the Sea) took home a special mention, it was announced Friday. Ten films were considered for the award.

The 65th edition of the Venice festival concludes Saturday.