If the configuration in AZ-1 is Group1,Group1,Group2 and AZ-2 is Group1,Group2,Group2, then AZ-1 has two out of the three nodes in Group 1 (aka the majority) and if AZ-1 went down then group 1 would not be available for linearizable reads and writes (it would still be available for best-effort reads).
The --replicas configuration determines the max replica size per group for Alphas. Zeros are also part of a quorum (e.g., you can run three Zeros in a quorum and the Zero group is available when the majority aka two are up).
If --replicas=3, then you’d ideally want 3 Alphas per group to maintain a high availability configuration.
If you have 3 AZs, then there at least needs to be one replica per AZ to maintain availability in a single AZ going down. So, you only need replicas=3 at the minimum.
Three Zeros for a high availability quorum. One per AZ.
Zero comprises group 0 (hence the name). Alphas are part of group 1, 2, and so on. So, When configuring the Alpha and you want to specify the group (it’s optional—when a new Alpha connects to Zero it will get auto-assigned a group), you’d specify group 1 or higher (not group=0, that’s not valid).