I have to wonder.
If the story had been
"80-year-old cyclist killed in prang with Lamborghini Huracán"
would anyone care?
Any car, with auto-pilot or not, can hit and kill someone if the driver isn't paying attention. Even if the Tesla's autopilot was engaged and working perfectly the driver was not paying attention to the road and thus is to blame, not the car. I believe Tesla makes it quite clear that the driver should not take their attention off the road even with the AP engaged.
As a driving instructor once said "There are no 'accidents', its always because someone wasn't paying attention"