A terribly sad story. Awful for the bereaved, for the other riders with the cyclist and for the driver who collided with him.
I don't ride in larger groups any more, but even in twos and threes it can be tricky to spot and miss every pothole. That's even with a good pointer at the front.
There have been potholes since I first turned a wheel on the highway. I don't know the details of this case beyond what was in the news report, but in general I think people can be quite harsh on the authorities.
When I'm going for speed, I ride a nicey-nicey alloy/carbon road bike with wheels made of warm solder and eggshells. There are roads I avoid when I'm on it, just as the drivers of some penis-substitute supercars avoid sleeping policemen and high kerbs.
I take a fatalistic view that road surfaces wear out and that unless we are all happy to pay 70% income tax with no allowances, they will not get filled/repaired too quickly.
None of which takes anything away from the grief this event will have caused. But it's not crazy; it's just real life.