Earlier quoted context omitted.
The downside of single AZ clusters is capacity. If you have a need to drastically scale up the compute might not be available in a single AZ.
Indeed, this is the main problem I run into. We have to scale up capacity before the traffic can be redirected or you basically double the scope of the outage briefly. Which involves multiple layers of capacity bringup -- ASG brings up new nodes, then HPA brings up the new pods.
AWS does that with their lambda arch to reduce waste.